The “ICICI Prudential Smart” smallcase consists of smart beta ETFs.
Smart beta ETFs capture factors like size, value, volatility, etc. delivering them in a cost and tax efficient structure.
This smallcase comprises of two ETFs which consider the Value and Volatility factors.
One of the smart beta ETF in this smallcase identifies 20 value stocks in the large cap companies i.e. Nifty 50 universe. Value stocks are normally perceived as companies with low PE (Price to Earning), low PB (Price to Book) and high DY (Dividend Yield).
Another ETF in this smallcase considers the volatility factor and indentifies 30 low volatility stocks from the Nifty 100 universe.
The above strategies could help investors achieve reasonable risk-adjusted returns.
The smallcase can be considered by investors looking to earn higher returns in the long term by investing in factors like low volatility and value.
This smallcase is rebalanced on an annual basis.
The risk profiles of individual ETFs can be found under the factsheet.
Closed smallcase