Icici Pru Power Fund The Sensex Over Most Of The Time - Dec 11, 2008

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 37055.68 crore assets under management as on November 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 53.84 as on 10 December 2008.The total net assets of the scheme decreased by Rs 14.91 crore to Rs 499.93 crore in November 2008.

ICICI Pru Power Fund (G) took fresh exposure to only one new stock in November 2008. The scheme has purchased 11.10 lakh units (1.16%) of Infrastructure Development Finance Company in November 2008.The scheme completely exited from Satyam Computer Services by selling 2.04 lakh units (1.21%), Steel Authority of India by selling 5.43 lakh units (0.90%) and Asian Paints by selling 10,864 units (0.20%) among others in November 2008.Sector-wise, the scheme it took fresh exposure to Finance & Investments at 1.16% in November 2008.

Sector-wise, the scheme completely exited from any Paints / Varnishes at 0.20% in November 2008.The scheme had highest exposure to Bharti Airtel with 7.64 lakh units (10.27% of Portfolio) followed by Reliance Industries with 3.15 lakh units (7.15%), ITC with 18.26 lakh units (6.34%) and Oil & Natural Gas Corporation with 3.81 lakh units (5.30%) among others in November 2008.

It reduced its exposure to Infosys Technologies by selling 2.01 lakh units to 60,985 units (by 5.53%), Larsen & Toubro by selling 1.23 lakh units to 1.35 lakh units (by 2.08%), Reliance Industries by selling 287 lakh units to 3.15 lakh units (by 1.27%) and Axis Bank to 1.70 lakh units (by 0.47%) among others in November 2008.

Sector-wise, the scheme had highest exposure to Telecommunications - Service Provider at 10.27% (from 9.71% in October 2008), Refineries at 7.15% (8.42%), Banks - Private Sector at 6.74% (7.56%) and Cigarettes at 6.34% (5.50%) among others in November 2008.Sector wise, the scheme had reduced exposure Computers - Software – Large to 5.92% (by 6.45%), Engineering - Turnkey Services to 1.97% (by 2.08%) and Refineries to 7.15% (by 1.27%) among others in November 2008.

Performance: The scheme underperformed the category average over most of the time periods. It has outperformed the Sensex over most of the time periods.Over three-month period ended as on 10 December 2008, the scheme posted negative returns of 36.52% underperforming the category average that posted negative returns of 35.18%. It outperformed the Sensex, which has posted negative returns of 38.69% returns during the same period.Since inception, the scheme posted 416.30% returns outperforming the category average of 66.85%.