ICICI Prudential Long Short AIF
Our view on the fund, the AMC, the strategy, the performance & the investment team.
IME's Review of ICICI Prudential Long Short AIF
| Fund Rating | Strategy Rating | Performance Rating |
|---|---|---|
Upgrade | Upgrade | Upgrade |
View on the Fund
Allows for positive portfolio returns across market conditions. Investors should keep in mind a lower level of FM experience, along with a heightened level of risk in black-swan events, prior to considering investing.
Strategy
Option premium accrual strategy
Fund's Strategy View
Writing (or selling) options to earn the premium, is considered the best way to make money in options. If risks can be managed, this can give attractive double-digit returns for investors, with an ability to make money across up, down and sideways markets.
Fund Performance
The aim is to produce consistent returns irrespective of market conditions. The fund aim not to take directional calls but rather have a neutral exposure to equities and generate returns via futures & options strategies.
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| ICICI Prudential Long Short AIF |
Performance as of: 31-Jan-26 | Inception Date: 20-Aug-18 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Nimesh Shah | 4-star rated FM
CEO | 32 yrs Experience | 19 yrs at current firm
Past Experience: ICICI Bank
Nimesh Shah joined the Company in July 2007 as Managing Director and Chief Executive Officer. He has been instrumental in laying a foundation for building a superior asset management firm. He has over 30 years of experience in the banking and financial services industry. Prior to his current role, he was serving the ICICI Group as a Senior General Manager at ICICI Bank where he held several key roles in project finance, corporate banking and international banking functions. He is also a Director of the Mutual Fund industry trade body AMFI and a Chartered Accountant by qualification.
Rahul Rai | 4-star rated FM
Head RE | 35 yrs Experience | 15 yrs at current firm
Past Experience: SUN-Apollo Real Estate Advisors, E&Y
Rahul Rai joined the AMC in November 2010. With over 24 years of experience spanning Real Estate Investments, Corporate Finance and Tax & Regulatory assignments, he leads the Real Estate business practice at the AMC. Prior to joining the AMC, Rahul worked with SUN-Apollo Real Estate Advisors as Principal with the responsibility over the entire life cycle of the investment. He has also worked at Ernst and Young where he headed the Real Estate transactions practice and prior to that has worked with Arthur Andersen. Within the real estate sector, Rahul has exposure across all product classes and cities and has strong relationships with leading developers. He is a Chartered Accountant and Cost Accountant. He is a graduate in Commerce from Mumbai University.
Shekar Daga | 4-star rated FM
Head Pvt Capital | 27 yrs Experience | 5 yrs at current firm
Past Experience: Aion Capital, ICICI Bank
Shekhar Daga is the Head- Private Capital at ICICI Prudential AMC. In a career spanning over two decades, Shekhar has handled entire gamut of investment management across corporate lending, structured finance, private equity, special situation and distressed debt. Previously, he was a partner at AION Capital and served on the board of multiple portfolio companies including Clix Capital. He was earlier with ICICI Bank in their Structured finance and distressed debt group. Shekhar is a rank holder CA from Institute of Chartered Accountants of India.
Paul Parampreet | 3-star rated FM
Head - Long Short | 21 yrs Experience | 2 yrs at current firm
Past Experience: Franklin Templeton (PM), Edelweiss (Associate Director)
Paul Parampreet joined ICICI Pru AMC in May 2024 and currently serves as a Fund Manager for Alternatives, where he is responsible for investment research and strategy design for AIF portfolios. He brings over 15 years of experience in financial services. Prior to ICICI, he worked as a Client Portfolio Manager at Franklin Templeton across the UK and India, managing multi-asset client portfolios and advising institutional investors on asset allocation. Earlier, he served as Associate Director – Strategic Investments at Edelweiss Group and was Vice President and Head of Equities at Edelweiss Asset Management, overseeing multiple equity mutual fund strategies. Paul holds a PGDM from IIM Calcutta and a Bachelor’s degree in Electrical Engineering from IIT Kharagpur.
IME's Review of ICICI Pru Alternatives
| AMC Rating | Pedigree Rating | Team Rating | Philosophy Rating |
|---|---|---|---|
Upgrade | Upgrade | Upgrade | Upgrade |
View on AMC
ICICI Pru Alternatives, part of the ICICI Group, has developed a formidable position for itself in the Alternatives space - with a presence across Real Estate, High Yield Debt, Long-Short & Unlisted funds. While all AMC's that are part of larger financial groups do face the risk of team churn, ICICI Alternatives represents one of the better Alternative brands to be working with, and their size & pedigree does help them attract high-quality talent in case of the departure of any of their senior members.
AMC's Pedigree
ICICI Pru Alternatives is amongst the oldest alternative managers in India, and has built up a strong presence for itself across a wide range of Alternative fund categories. it is amongst the more pedigreed Alternative managers working out of India.
AMC Team
Rahul Rai (Head, RE) comes with 3 decades of RE experience and corp banking + Nimesh Shah (3 decades of banking) + Shekar Daga (Head, Pvt Capital) with 2 decades of experience across corp lending, structured fin, PE, special situation and distressed debt
Investment Philosophy
Large Alternative AMCs have distinct investment philosophy for various offerings they come up over time. The primary focus is the value-add in the alternatives space for investors.
Investment Strategy
ICICI Prudential Long Short Fund is a Category III AIF designed to generate absolute returns with lower volatility across market cycles. The fund employs a combination of long equity positions, short selling, and derivatives-based hedging, aiming to provide risk-adjusted returns while mitigating downside risks.
Core Investment Approach
Long-Short Strategy for Market-Neutral Exposure:
- Long Positions: Invests in high-quality companies with strong earnings potential.
- Short Positions: Hedging against market downturns using index futures and stock-specific shorts.
- Options Strategies: Uses covered calls and put spreads to enhance returns.
Performance Across Market Cycles:
- Up Market: Aims to participate in gains while maintaining risk control.
- Down Market: Limits drawdowns by reducing net equity exposure.
- Sideways Market: Seeks to generate alpha through stock selection and relative value trades.
Risk-Managed Portfolio Construction:
- Dynamic allocation based on macro indicators, valuations, and technical factors.
- Diversified exposure across multiple sectors to reduce concentration risk.
- Utilizes low net equity exposure to enhance stability.
AMC Background
ICICI Prudential Alternatives AMC is a leading asset manager with deep expertise in real estate, unlisted, high-yield and long-short strategies via its AIFs. It is backed by ICICI Pru AMC, which is the top-3 asset managers in India, known for managing mutual fund assets.
Investment Philosophy
Large Alternative AMCs have distinct investment philosophy for various offerings they come up over time. The primary focus is the value-add in the alternatives space for investors.
Experience the benefits of working with a 'research-first' investments firm
Free 15-Day Trial of IME RMS App
Get complimentary access to the revolutionary IME RMS App (direct access to IME's central team insights across 1000's of MFs, PMSs, AIFs & Global funds - a first in the industry).
Additionally, a dedicated private banker will help build your financial plan, investment mandate & undertake a comprehensive portfolio review for free.
