The scheme, which was launched in August 1999, has delivered a compound annual growth rate (CAGR) of around 9.45 per cent since its inception. Over the past 20 years, the scheme has delivered a CAGR of 8.26 per cent, and a CAGR of 8.62 per cent and 7.11 per cent in 10 and five years, respectively.
A lump sum investment of Rs 1 lakh made in this fund since inception would have been Rs 9.58 lakh now with a CAGR of 9.45%. Over the last 20 years, an investment of Rs 1 lakh would have been Rs 4.87 lakh with a CAGR of 8.23%. Over the last five years, the value of the investment would have been Rs 1.41 lakh with a CAGR of 7.14%.
A monthly SIP of Rs 10,000 on the plan since inception would have been Rs 99 lakh in 25 years at an XIRR of 8.52%.
In the last 10 years, based on annual returns, the scheme has never given negative returns. In 2016, it gave the highest annualised return of around 18.17% and in 2017, the lowest of around 2.06%.
According to a note from the fund manager, it crossed an AUM size of Rs 1,000 crore on August 31, 2014. In May 2018, when Sebi recategorized mutual fundsThree government bond-oriented schemes have been merged into the ICICI Prudential Gilt Fund.
The fund manager had an AUM of Rs 6,361 crore as of July 2024, an average maturity of 8.29 years and a modified duration of 4.56 years.
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The plan is compared with Nifty All Duration G-Sec Index and is managed by manish banthia and Raunak Surana.
The fund manager mentioned that the fund managers took a decision to invest more in floating rate government bonds from the end of 2021 onwards, in anticipation of an increase in interest rates by the RBI. The decision paid off as the RBI increased rates by 250 basis points from May 2022 to February 2023.
The fund is suitable for investors who are looking for long-term wealth creation and want a government debt securities scheme that aims to generate income through investments in government debt securities of various maturities.
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