MUMBAI: Investor-centric focus and investment performance have catapulted ICICI Prudential Asset Management Company to the number two position behind HDFC Mutual Fund. ICICI Prudential currently has an asset base of over ?1 lakh crore.
Speaking to Business Line, Nimesh Shah, Managing Director and CEO, ICICI Prudential, said the improvement in the macro-economic scenario coupled with the probability of a stable Government post-election would now shift the focus to economic growth.
Awaits clarity on policy
“Overseas investors have turned bullish on India and we have been seeing substantial inflows from Europe. If India has received an X amount, there is another 3X money waiting to flow in once there is clarity on policy after election,” he said.
Stating that the fund house has been busy in investing the funds collected through a series of close-ended value funds launched last year, Shah said the recently launched funds have posted good returns in a short span of time.
He feels that interest rates coming down along with the favourable policy decisions by a new Government will revive the economy, which is now passing through a difficult phase.
In the next one year, interest rates would be lower than what it is today. When rates come down, bond values would go up, said Shah.
Retail investors have almost shunned the equity markets and have invested in gold and real estate. While gold has eroded investment value, real estate has failed to deliver in the last one year, he said.
Claiming that 30 stocks with foreign institutional investors’ interest have done well, he said there is enough opportunity in the rest of the market for retail investors to take a plunge.
“According to me, retail investors or individual investors should invest before elections and now is the time to invest,” he said.