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Mutual Fund investments are subject to market risks, read all scheme related document carefully.

What is PGIM India Midcap Opportunities Fund?

Play on the front foot and give your investments the winning edge. Presenting PGIM India Midcap Opportunities Fund that invests in mid-cap stocks selected through an extensive and thorough research process. It has greater growth potential compared to large-cap stocks, and less volatility and risk compared to small-cap stocks.

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What is the Investment Strategy of PGIM India Midcap Opportunities Fund?

The fund invests in mid-cap companies, with a bottom-up stock selection approach. The portfolio manager selects companies with good capital allocation, sector dominance or companies which are able challengers with strong financials. Parameters such as high RoE, ability to generate positive cash flows consistently and low leverage are given prime importance in-stock selection. The fund is benchmark aware but agnostic to the benchmark.

Portfolio Allocation*

The below-mentioned allocation is followed by the fund manager while constructing his portfolio:

  • Top 40-45%of the portfolio
  • Middle 40-45%of the portfolio
  • Bottom 10-20%of the portfolio

Companies with stable earnings and strong earnings visibility

Companies with strong earnings growth

Turn around stories/ good companies going through bad times with signi­ficant potential for alpha generation

*These are based on the fund manager's current outlook and are subject to change.

Why invest in PGIM India Midcap Opportunities Fund?

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PGIM India Midcap Opportunities Fund invests in quality businesses at a reasonable price, therefore the positive stock returns are a result of

  • Earnings growth visibility
  • Reasonable valuations which give a chance for PE expansion in the stock

PGIM India Midcap Opportunities Fund tries to identify businesses when their earnings visibility is improving and valuations are reasonable. Thereby, allowing the fund to tap into unique businesses not present commonly in other portfolios.

The portfolio consistently has a lower commonality with the benchmark as it invests into low debt companies providing high return ratios.

Features of PGIM India Midcap Opportunities Fund:

Benchmark Index:

Nifty Midcap 100 TR Index

Minimum Additional Amount:

Minimum of ₹ 1000/- and in multiples of ₹ 1/- thereafter.

Fund Manager:

Aniruddha Naha, Senior Fund Manager – Equity, also manages PGIM India Flexi Fund and PGIM India Balanced Advantage Fund. Aniruddha has done his master’s in finance & control and has over 18 years of industry experience in the equity and debt market.

Vivek Sharma, Assistant Fund Manager- Equity has completed PGDM in Finance and has over 15 years of experience in Indian financial markets, primarily in equity research.

Exit load:

10% of the units allotted may be redeemed/switched-out to debt schemes without any exit load within 90 days from the date of allotment of units; Any redemptions/switch-outs in excess of the above-mentioned limit would be subject to an exit load of 0.50%,

if the units are redeemed/switched-out to debt schemes within 90 days from the date of allotment of units; Nil - If the units are redeemed/switched-out after 90 days from the date of allotment of units

No exit load will be charged for switches and STP between any open-ended equity schemes, hybrid schemes and fund of funds schemes.

Minimum Application Amount:

Minimum of ₹ 5,000/- and in multiples of ₹ 1/- thereafter.

Portfolio of PGIM India Midcap Opportunities Fund

  • Top 3 Sectors Overweight

    % Overweight

     

  • Top 5 Stocks Overweight

    % Overweight

     

  • Top 3 Sectors Underweight

    % Underweight

     
    The above weights are in comparison to the benchmark.Source: Bloomberg and Internal Research. The above data as on April 30, 2021.

  • Top 5 Stocks Underweight

    % Underweight

     

  • Portfolio Metrics

     
    Source: Bloomberg and Internal Research. The above data as on April 30, 2021.

  • Portfolio Composition

    Portfolio Nifty Midcap 100 TR Index
    Number of stocks 48 100
    Potfolio overlap with -- 31.1%
    Large caps (1st-100th stock) 6.1% 3.4%
    Mid caps (101st-250th stock) 68.5% 92.1%
    Small caps (251st stock onwards) 19.7% 3.1%
    Cash 3.4% 0.0%
    Market Cap yet to be classified by AMFI 2.4% 1.42%
    Top 10 holding 33.7% 20.7%
    Avg Market Cap - Crore 41,444 30,077
    Source: Bloomberg and Internal Research. The above data as on April 30, 2021.

Portfolio (Top Ten Holdings) as on April 30, 2021

  • ICICI Bank Ltd.

    (4.31%)

  • Aarti Industries Ltd.

    (4.24%)

  • MindTree Ltd.

    (3.81%)

  • The Federal Bank Ltd.

    (3.64%)

  • Voltas Ltd.

    (3.61%)

  • Cholamandalam Investment & Finance Company Ltd.

    (3.51%)

  • Max Financial Services Ltd.

    (3.04%)

  • Steel Authority of India Ltd.

    (2.71%)

  • Canara Bank

    (2.62%)

  • SKF India Ltd.

    (2.60%)

Performance of PGIM India Midcap Opportunities Fund

Fund Nifty Midcap 100 TR Index^ NIFTY 50 TR Index #
Period Returns (%) Value (INR)* Returns (%) Value (INR)* Returns (%) Value (INR)*
Regular Plan
Last 1 Year 95.86 19,586.33 80.61 18,060.97 49.89 14,989.10
Last 3 Year 16.35 15,758.71 7.06 12,274.15 12.23 14,139.28
Last 5 Year 17.56 22,463.56 14.06 19,311.43 14.72 19,876.52
Since Inception 17.31 32,670.00 17.89 33,868.50 13.59 25,725.75
Direct Plan
Last 1 Year 99.44 19,943.95 80.61 18,060.97 49.89 14,989.10
Last 3 Year 18.32 16,571.88 7.06 12,274.15 12.23 14,139.28
Last 5 Year 19.32 24,199.34 14.06 19,311.43 14.72 19,876.52
Since Inception 18.67 35,580.00 17.89 33,868.50 13.59 25,725.75

Date of Inception: Regular Plan: December 02, 2013; Direct Plan: December 02, 2013. All the above returns are of Growth Option and CAGR. CAGR – Compounded Annual Growth Rate. ^ Scheme Benchmark. # Standard Benchmark. *Based on standard investment of ₹10,000 made at the beginning of the relevant period. Past performance may or may not be sustained in future and should not be used as a basis for comparison with other investments. Different plans have a different expense structure. Aniruddha Naha is managing this fund since April 05, 2018. The above returns are as on April 30, 2021

Performance of other fund managed by Fund Manager Aniruddha Naha as on April 30, 2021

Last 1 Year Last 3 Year Last 5 Year Managing Since
PGIM India Flexi Cap Fund 73.40 15.96 17.30 April 05, 2018
Nifty 500 TR Index^ 55.74 10.46 14.79

^ Benchmark. Past performance may or may not be sustained in future and should not be used as a basis for comparision with other investments. The above returns are of Regular Plan-Growth Option of respective schemes. All the above returns are of CAGR. CAGR - Compounded Annual Growth Rate. Different plans have a different expense structure. Mr. Aniruddha Naha is managing 3 schemes of PGIM India Mutual Fund. On account of difference in scheme features, the performance of these schemes are not strictly comparable. Please refer www.pgimindiamf.com for details on performance of all schemes(including Direct Plan).

FAQs

What is a midcap fund?

A Midcap fund, as defined by SEBI, is a fund which invests minimum 65% of the AUM in equity & equity related instruments of companies i.e. between 101 and 250 companies ranked by market capitalisation. The rest 35% can be invested across any market capitalisation companies.

How is it different from the large cap and small cap?

A Large cap fund must necessarily invest 80% of the AUM in the top 100 companies by market capitalisation. The rest 20% can be invested across market capitalisation companies. A small cap fund must necessarily invest 65% of the AUM in the 251 companies and beyond by market capitalisation. The rest 35% can be invested in companies across market capitalisation.

Who should invest in Midcap fund?

Midcap funds have the potential of generating good returns over time, albeit they are volatile. Any investor having a long term horizon and is ready for some volatility, should look to invest in midcap funds to generate returns.

This product is suitable for investors who are seeking*

  • Capital appreciation over the long run
  • To achieve long-term capital appreciation by predominantly investing in equity and equity-related instruments of mid-cap companies
  • Degree of risk – VERY HIGH

*Investors should consult their financial advisers if in doubt about whether the product is suitable for them

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Return on Equity: Return on equity (ROE) is the amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested.

Debt/Equity (ex-financials): Debt/Equity Ratio is a debt ratio used to measure a company's financial leverage, calculated by dividing a company's total liabilities by its stockholders' equity. The D/E ratio indicates how much debt a company is using to finance its assets relative to the amount of value represented in shareholders' equity. (Ex-Financials means excluding Banks and NBFCs).

Price/Earnings: The price-earnings ratio (P/E Ratio) is the ratio for valuing a company that measures its current share price relative to its per-share earnings.

Beta: Beta is a measure of an investment’s volatility vis-à-vis the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 implies that the security’s price will be more volatile than the market.

© 2021 Prudential Financial, Inc. (PFI) and its related entities. PGIM, the PGIM logo, and the Rock symbol are service marks of PFI and its related entities, registered in many jurisdictions worldwide.Mutual Fund investments are subject to market risks, read all scheme related documents carefully.