ICICI Pru Power Fund (G) Underperforms The Sensex Over All Time Periods - 3 Sep 08

Background: Prudential ICICI Asset Management Company Ltd manages prudential ICICI Mutual Fund. A joint venture between Prudence Plc, UK's leading insurance company and ICICI Bank Ltd. India's premier financial institution. Prudential ICICI Mutual Fund house has Rs. 55160.65 crore assets under management as on July 2008.

ICICI Pru Power Fund (G) an open-ended scheme launched in August 1994. The objective of the scheme is to seek to generate long-term capital appreciation from a portfolio invested in equities of core sector companies. The minimum investment amount is Rs 5000 and in multiples of Rs 500 thereafter. The unit NAV of the scheme was Rs 79.45 as on 29 August 2008.

Portfolio: The total net assets of the scheme increased by Rs 49.54 crore to Rs 787.91 crore in July 2008.

ICICI Pru Power Fund (G) took fresh exposure to three new stocks in July 2008. The scheme has purchased 1.82 lakh units (2.69%) of Tata Power Company, 1.99 lakh units (1.26%) of Ranbaxy Laboratories, 70005 units of (0.58%) of Axis Bank in July 2008.

The scheme completely exited from Jaiprakash Associates by selling 10.74 lakh units (2.09%) and IDBI Bank by selling 17.83 lakh units (1.56%) and Reliance Infrastructure by selling 77706 units (0.83%) among others in July 2008.

Sector-wise, the scheme did not take fresh exposure to any sector in July 2008.

Sector-wise, the scheme did not exit completely from any sector in July 2008.

The scheme had highest exposure to Reliance Industries with 3.15 lakh units (8.83% of Portfolio) followed by Bharti Airtel with 6.74 lakh units (6.84%), Infosys Technologies with 3.05 lakh units (6.13%), Larsen & Toubro with 1.59 lakh units (5.27%) and Bharat Heavy Electricals with 2.38 lakh units (5.08%) among others in July 2008.

It reduced its exposure to SREI Infrastructure Finance by selling 10.22 lakh to 4.87 lakh units (by 1.18%), Satyam Computer Services by 99453 units to 1.50 lakh units (by 0.75%) and Steel Authority of India by 3.18 lakh units to 6.96 units (by 0.68%) among others in July 2008.

Sector-wise, the scheme had highest exposure to Computers - Software – Large at 11.04% (from 11.25% in June 2008), Refineries at 8.83% (8.63%), Banks - Private Sector at 7.25% (5.74%) and Pharmaceuticals - Indian - Bulk Drugs & Formulation at 7.01% (6.01%) among others in July 2008.

Sector wise, the scheme had reduced exposure Construction to 4.07% (by 2.77%), Steel - Large to 4.40% (by 1.27%), Finance & Investments to 0.65% (by 1.18%) among others in July 2008.

Performance: The scheme underperformed the category average over most of the time periods. It has underperformed the Sensex over all time periods.

Over three-month period ended as on 28 August 2008, the scheme posted negative returns of 10.75% outperforming the category average that posted negative returns of 10.99%. It underperformed the Sensex, which has posted negative returns of 10.74% returns during the same period.

Since inception, the scheme posted 694.50% returns outperforming the category average of 161.03%.