ICICI Prudential Mutual Fund has introduced the Rural Opportunities Fund, an open-ended equity scheme focused on rural and related sectors.
The fund aims to invest in industries that contribute to the growth and development of rural India.
By targeting companies involved in these areas, the scheme seeks to create long-term wealth for investors.
The New Fund Offer (NFO) will open on January 9 and close on January 25.
Rural India’s Key Role in Economic Growth
Sankaran Naren, Executive Director & Chief Investment Officer (CIO) at ICICI Prudential AMC, and Fund Manager of the NFO, emphasized the transformative potential of rural India over the next decade.
With ongoing state government initiatives and favorable economic factors, rural areas are expected to significantly contribute to the country’s economic progress.
India’s goal of becoming a global manufacturing hub relies heavily on rural development.
Government efforts to improve rural infrastructure and living conditions are already driving increased demand and creating growth opportunities across various sectors.
Growth Potential and Flexible Investment Strategy
The Rural Opportunities Fund will track the Nifty Rural Index, which includes stocks from the Nifty 500 Index that align with the rural theme.
The top 75 stocks from core industries are selected based on market capitalization.
Rural areas contribute a significant portion of India’s GDP, and with the government’s focus on infrastructure development, this theme presents strong growth potential.
The fund also offers flexibility in sector allocation to adapt to market conditions.
It aligns with government initiatives such as Pradhan Mantri Awas Yojana – Gramin, Jal Jeevan Mission, and Ayushman Bharat, which are centered on rural development.
This strategy positions the fund to capitalize on the rising opportunities in rural India while contributing to its long-term economic transformation.
