ICICI Prudentual Life Unviels BSE Enhanced Value 30 Index Fund: What is It? Check Key Benefits

ICICI Prudential launched its new fund for unit linked insurance plans (ULIPs) customers. The ICICI Prudential Life's BSE Enhanced Value 30 Index Fund will give exposure to attractively valued companies from the large and mid-cap universe and build wealth over the long-term.

The index fund will give policyholders systematic access to large and mid-cap value stocks. It will value equity participation with life cover for long term wealth creation and protection needs.

What is ICICI Prudential Life BSE Enhanced Value 30 Index Fund?

The new fund follows a passive strategy that mirrors a customised index built on value factors. It tracks this benchmark to give similar returns by investment in companies that appear attractively priced based on their financial fundamentals across market cycles.

ICIC Prudential BSE Enhanced Value Index Fund | Key Features

The fund seeks to follow ICICI PRU BSE Enhanced Value Index. It has reported annualised returns of 32% over three years, 28.9% over five years and 19.4% over ten years, highlighting how a rules-based value strategy has behaved over different market periods.
"The ICICI Prudential Life BSE Enhanced Value 30 Index Fund offers a structured and transparent way for customers to participate in equity markets by focusing on companies that are attractively valued relative to their fundamentals," said Manish Kumar, Chief Investment Officer, ICICI Prudential Life Insurance Company Limited.

Fund Strategy

The fund focuses on key pillars including value-based stock selection using multiple financial parameters, sector diversification, market capitalisation segments, and disciplined, rule-based investment process with periodic review and rebalancing.
Importantly, this approach enables customers to stay invested with confidence, even during volatile phases, over the long term, while participating in opportunities that may be relatively under-represented.

What is ICICI Pru BSE Enhanced Value Index?

It is a customised benchmark linked to the BSE Enhanced Value Index. The newly launched fund track this index, which is also aligned with the IRDAI regulations.
The ICICI Prudential Life BSE Enhanced Value 30 Index Fund tracks the ICICI PRU BSE Enhanced Value Index, a customised benchmark linked to the BSE Enhanced Value Index and aligned with IRDAI regulations, constructed to capture value characteristics within the BSE Large & Mid-cap universe.

The Index consists of 30 companies selected from the BSE LargeMidCap segment using valuation indicators such as book value-to-price, earnings-to-price and sales-to-price ratios.

Rebalancing Frequency

The Index is reviewed and rebalanced twice a year. It allows the index composition to reflect shifting sector prospects and valuation signals, and also uses caps on single-stock and sector weights to maintain diversified exposure and limit concentration risk within the portfolio.

The new ICICI Prudential Life BSE Enhanced Value 30 Index Fund offers this factor-based exposure through ICICI Prudential Life's ULIPs such as ICICI Pru Signature Assure, SmartKid Assure with ICICI Pru Signature Assure and ICICI Pru Smart Insurance Plan Plus (SIP+) along with other eligible ULIP products that provide life cover alongside market-linked investment options.