ICICI Prudential Nifty Pharma Index Fund - Direct Plan - IDCW

ICICI Prudential Nifty Pharma Index Fund - Direct Plan - IDCW holds up reasonably well within the Sectoral category, currently carrying a 2-star rating. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 71/100.

Cost: At 0.48%, the expense ratio is meaningfully cheaper — about 54% below the Sectoral category average of 1.05% (based on 357 comparable funds). Lower costs compound in your favour over long holding periods.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a modest Sharpe ratio of 0.47 — returns have only marginally compensated for the risk taken. Separately, annualised volatility of 14.55% is fairly typical for actively managed equity funds.

Who should invest: This fund is best suited to investors whose goals and risk appetite align with a Equity fund. Given the Very High risk rating, this fund is not suited to short-term goals or investors who may need to exit within 2-3 years.