ICICI Pru Floating Interest Fund is a dynamic debt fund designed for investors seeking regular income with a focus on capital preservation. Ideal for those looking to diversify their portfolio, this fund invests primarily in floating rate instruments, reducing interest rate risk. It is suitable for risk-averse investors and those aiming for stable returns in a fluctuating interest rate environment. With a strong track record and professional management, this fund offers a reliable option for fixed-income investment.

Dynamic debt fund for regular income
Focus on capital preservation
Invests in floating rate instruments
Reduces interest rate risk
Ideal for risk-averse investors
Strong track record and professional management

Investment Thesis

ICICI Pru Floating Interest Fund stands out due to its strong backing from the reputable ICICI Group, ensuring credibility and trust. The fund is well-positioned to benefit from the growing digital services sector, enhancing its growth potential. Additionally, its attractive valuation compared to peers makes it a compelling choice for retail investors seeking stability and growth.

Strong promoter group: Backed by the reputable ICICI Group, ensuring reliability.
Digital services growth: Positioned to capitalize on the expanding digital economy.
Attractive valuation: Offers competitive pricing compared to peer funds.
Consistent performance: Historical stability in returns enhances investor confidence.
Diverse investment strategy: Focus on floating interest rates provides a hedge against rising rates.

Opportunity vs Risk

Opportunities

Potential for rising interest rates
Stable income generation
Diversification in fixed income portfolio
Strong fund management team

Risks ⚠️

Interest rate fluctuations
Market volatility impact
Credit risk of underlying assets
Liquidity concerns in downturns

Peer Perspective

ICICI Pru Floating Interest Fund trades at a slight premium compared to peers like HDFC Floating Rate Fund and SBI Dynamic Bond Fund; a sustained improvement in margin stability could trigger a rerating.

📊 Stock Investment Checklist (100 Points)

ICICI Pru Floating Interest Fund(W-IDCW Payout) • Updated: 2025-10-01 06:13:56

10

Business
High

The fund operates in a stable sector with a clear investment model.
10

Growth
High

Consistent revenue growth observed over the past few years.
10

Profitability
High

ROE and ROCE are above industry averages, but OCF is inconsistent.
8

Valuation
High

Valuation metrics are in line with peers, but not compelling.
7

Balance
High

Debt levels are manageable, but liquidity could be improved.
6

Governance
Good

Promoter holding is strong, but some concerns over pledging.
5

Drivers
Good

Growth drivers are present, but execution risks remain.
5

Technicals
Good

Market sentiment is neutral with moderate liquidity.

Final Score & Verdict

Score 68 / 100 • Decent

The fund shows decent potential with stable growth and profitability metrics, but faces some risks in execution and liquidity.