ICICI Prudential MF launches diversified Equity All Cap Active Fund of Funds

ICICI Prudential Mutual Fund launched the ICICI Prudential Diversified Equity All Cap Active Fund of Funds. NFO opened on March 2 and closes on March 16, 2026. By Anshul ICICI Prudential Mutual Fund has launched the ICICI Prudential Diversified Equity All Cap Active Fund of Funds (FOF), an open-ended scheme that will invest predominantly in units of diversified domestic active equity-oriented schemes across market capitalisations. The new fund offer (NFO) opened on March 2 and will close on March 16, 2026. The scheme will be benchmarked against the Nifty 500 TRI. According to the fund house, the scheme is designed to dynamically allocate across large-cap, mid-cap and small-cap strategies using an in-house market-cap and valuation framework. The underlying portfolio will comprise selected active equity schemes, providing diversification across investment styles and market segments. Sankaran Naren, Executive Director and Chief Investment Officer at ICICI Prudential Asset Management Company, said the fund seeks to offer a structured allocation approach that responds to changing market dynamics. He noted that market segments tend to go through phases of outperformance and correction, and that investor behaviour often gravitates toward recent outperformers. Investment approach As per the scheme information document (SID), the investment process follows a top-down framework that monitors macroeconomic and market indicators, including growth trends, inflation, interest rate cycles, domestic demand conditions and global developments. Based on this assessment, the relative attractiveness of different market-cap segments is evaluated. The allocation across large-cap, mid-cap and small-cap strategies will be guided by fund manager insights and an internal analytical framework. The fund house said the framework considers valuation measures such as price-to-earnings and price-to-book ratios, among other economic indicators, though these factors are not exhaustive. The portfolio and allocation may be reviewed periodically in line with the scheme objectives and within the provisions of the SID. The scheme will be managed by Dharmesh Kakkad and Sharmila D’silva. Note To Readers Disclaimer: This article is for informational purposes only and should not be construed as investment advice. Readers should consult certified experts before making any investment decisions.