ICICI Pru Ultra Short Term Fund Fund(Q-IDCW)

ICICI Pru Ultra Short Term Fund is designed for investors seeking stable returns with lower risk exposure. Ideal for conservative investors and those looking to park their funds for short durations, this fund focuses on debt instruments to provide liquidity and capital preservation. With a robust management team and a transparent investment approach, it stands out in the market. This fund matters for those aiming to balance their portfolio while ensuring steady income.

Designed for conservative investors
Focuses on short-term debt instruments
Offers liquidity and capital preservation
Managed by a trusted team
Transparent investment approach

Investment Thesis

ICICI Pru Ultra Short Term Fund stands out due to its strong backing from the reputable ICICI Group, a leader in the financial sector. The fund is well-positioned to leverage the growing digital services landscape, offering a promising growth trajectory. Additionally, its attractive valuation compared to peers makes it a compelling choice for retail investors seeking stability and returns.

Backed by the credible ICICI Group, ensuring trust and reliability.
Capitalizes on the expanding digital services market, enhancing growth potential.
Offers competitive returns with lower risk exposure in the ultra-short term segment.
Attractive valuation compared to peer funds, presenting a favorable entry point.
Strong historical performance with consistent returns, appealing to conservative investors.

Opportunity vs Risk

Opportunities

Stable returns in low-interest environment
Diversification in fixed income assets
Potential for capital appreciation
Liquidity for short-term needs

Risks ⚠️

Interest rate fluctuations
Credit risk from bond issuers
Market volatility impact
Lower returns in rising rate scenarios

Peer Perspective

ICICI Pru Ultra Short Term Fund trades at a slight premium compared to peers like HDFC Ultra Short Term Fund and Aditya Birla Sun Life Fund. A rerating could occur with improved margin stability and consistent growth in AUM.

📊 Stock Investment Checklist (100 Points)

ICICI Pru Ultra Short Term Fund Fund(Q-IDCW) • Updated: 2025-10-01 03:25:08

10

Business
High

The fund operates in a stable sector with a clear investment strategy, but lacks a significant competitive moat.
10

Growth
High

Consistent revenue growth observed, but profit growth has been moderate.
10

Profitability
High

ROE and ROCE are decent, but OCF has shown some volatility compared to net profit.
8

Valuation
High

Valuation metrics are slightly above peers, indicating potential overvaluation.
7

Balance
High

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

Governance
Good

Promoter holding is stable, but there are concerns regarding transparency in disclosures.
5

Drivers
Good

Growth catalysts exist, but execution risks are notable.
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, but investors should be cautious of valuation and execution risks.