ICICI Prudential IT ETF

The ICICI Prudential IT ETF, managed by ICICI Prudential Asset Management Company, is an open-ended fund targeting returns that closely mirror the Nifty IT Index, focusing on the IT sector.

The fund employs a replication strategy to track the Nifty IT TRI benchmark, ensuring minimal tracking error, currently reported at just 0.05%, indicative of effective management.

With a concentrated portfolio primarily in IT software, top holdings include Infosys (29.3%) and TCS (21.7%), posing potential concentration risks while benefiting from sector-specific exposure.

Performance metrics reveal a 1-year decline of -18.6%, although the 3-year and 5-year CAGR stand at 9.8% and 12.9%, respectively, suggesting resilience over longer periods despite recent volatility.

The fund has an AUM of ₹449.3 Cr and a low expense ratio of 0.2%, overseen by experienced managers, making it an accessible option for investors in the IT sector.