ICICI Pru Floating Interest Rates Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

ICICI Pru Floating Interest Rates Fund Direct Growth Plan currently has a NAV of ₹502.4116 as of 04 Sep 2026 and scheme AUM of ₹9,118 Cr. Its 1-year, 3-year and 5-year returns are 7.01%, 7.97% and 7.10% respectively, and the risk category is Balanced Risk. Our view is that this is a steady debt option for investors who want floating-rate exposure with measured volatility rather than a sharp return profile.

The fund has held up in a fairly even pattern over time, and the current return trend is close to its longer-run figures. That makes it more suitable for investors who are comfortable with debt-market movement and want a fund that has shown consistency across shorter and longer holding periods.

Quick facts

Particular	Details
NAV	₹502.4116 as of 04 Sep 2026
AUM	₹9,118 Cr
Expense Ratio	0.39%
Launch Date	01 Jan 2013
Min SIP	₹100
Risk Category	Balanced Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	No exit load after holding period
Fund Managers	Ritesh Lunawat, Darshil Dedhia

The fund is managed by Ritesh Lunawat and Darshil Dedhia.

Source data date: as of 04 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.35%	-2.95%
3M	2.11%	2.27%
1Y	7.01%	-4.43%
3Y	7.97%	5.88%
5Y	7.10%	6.29%

Recent performance has been mixed at the margin but still positive. The 1-month return is modest, while the 3-month return is stronger and sits close to the benchmark. That tells us the fund has not been pushing for aggressive short-term jumps; instead, it has moved in a relatively measured way.

The 1-year figure is the most striking part of the track record because the fund stayed positive while the benchmark was negative over the same stretch. That gap matters for debt-oriented investors, since it suggests the portfolio has been able to absorb a weaker market backdrop better than the index during the year.

Over 3 years and 5 years, the return pattern remains stable rather than dramatic. The fund is ahead of the benchmark in both periods, but the margin is not extreme. In our view, this points to a portfolio that has compounded at a controlled pace instead of relying on short bursts of outperformance.

The longer-term pattern also looks smoother than the benchmark’s recent swings. That steadier shape is important for investors who prefer predictability in a floating-rate debt fund, although it also means there is no sign of outsized return acceleration.

Source data date: as of 04 Sep 2026

Should you BUY or HOLD ICICI Pru Floating Interest Rates?

A fund's past returns alone don't tell you whether you should buy it today or continue holding it.

The right decision depends on factors such as your current allocation, purchase price, risk profile, investment horizon and the role this fund plays in your overall portfolio.

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Peer comparison

Fund	1Y return	3Y return	5Y return
ICICI Pru Floating Interest Rates Fund Direct Growth Plan	7.01%	7.97%	7.10%
Axis Floating Interest Rates Fund Direct Growth Plan	7.71%	8.42%	7.23%
Bandhan Floating Interest Rates Fund Direct Growth Plan	7.07%	7.92%	6.79%
Franklin India Floating Interest Rates Fund Direct Growth Plan	6.96%	8.19%	7.18%
Tata Floating Interest Rates Fund Direct Growth Plan	6.68%	7.52%	6.75%

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.

The fund’s 1-year return is close to the better peer figures, though Axis Floating Interest Rates Fund Direct Growth Plan is ahead on that measure. On the 3-year and 5-year numbers, the fund is also in the same general band as the stronger peer outcomes and edges past some peers on the 5-year figure. That combination suggests the recent track record is broadly consistent with the longer-term picture rather than being a one-off spike.

What stands out is that the fund does not look stretched relative to the group on longer horizons, while still staying competitive on the shorter one-year period. For investors comparing floating-rate options, that balance between recent steadiness and multi-year consistency is more useful than a single standout period.

Source data date: as of 04 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
7.53% NABARD	Corporate Debt	4.16%
6.75% Government Securities	Government Securities	3.95%
7.37% Citicorp Finance (India) Ltd. **	Corporate Debt	2.86%
7.95% Tata Capital Financial Services Ltd. **	Corporate Debt	2.74%
7.44% Rural Electrification Corporation Ltd. **	Corporate Debt	2.46%
7.45% Power Finance Corporation Ltd.	Corporate Debt	2.46%
Net Current Assets	Cash & Cash Equivalents and Net Assets	2.46%
7.71% Rural Electrification Corporation Ltd. **	Corporate Debt	2.2%
7.24% State Government of Bihar	Government Securities	2.19%
7.58% LIC Housing Finance Ltd. **	Corporate Debt	2.19%

The top 10 holdings account for approximately 27.67% of the portfolio.

To see all holdings, visit the ICICI Pru Floating Interest Rates Fund Direct Growth Plan page

The largest position, 7.53% NABARD, is 4.16%, which is sizeable but not dominating on its own. The fall in weights from the first few holdings to the tenth is gradual rather than abrupt, so the portfolio does not appear to lean heavily on a single security.

That said, the displayed holdings only explain about 27.67% of the portfolio across 10 positions, while the scheme discloses 67 holdings in total. Our interpretation is that the fund likely spreads risk across a longer tail of debt instruments, with a relatively moderate weight in each of the largest positions.

This structure may help keep individual issuer moves from overwhelming performance, although the corporate debt exposure in several of the listed holdings means credit selection can still matter.

Source data date: as of 04 Sep 2026

Who should invest

This fund fits investors who can accept a debt fund with movement around the edges rather than a fixed deposit-like profile. The Balanced Risk label and the return pattern suggest a better fit for medium- to long-term investors who want floating-rate exposure and can stay invested through periods when monthly or quarterly returns are uneven.

It also suits investors who value consistency across cycles more than chasing a sharp short-term spike. The fund has stayed ahead of the benchmark over 1-year, 3-year and 5-year horizons, but the edge is measured, so the main trade-off is taking on some market and credit sensitivity in exchange for a steadier compounding path.

Tax and exit load

Holding period	Tax rate	Description
Units held less than 1 year	20%	Short-term capital gains tax
Units held more than 1 year	12.5%	Long-term capital gains tax

No exit load after holding period.

Source data date: as of 04 Sep 2026

Frequently asked questions

What is the current NAV of ICICI Pru Floating Interest Rates Fund Direct Growth Plan?

The current NAV is ₹502.4116 as of 04 Sep 2026.

What are the 1-year, 3-year and 5-year returns?

The 1-year return is 7.01%, the 3-year return is 7.97% and the 5-year return is 7.10%.

How has the fund performed against the benchmark?

It has stayed ahead of the benchmark over 1-year, 3-year and 5-year horizons. The benchmark was negative over 1 year, while the fund remained positive.

How does it compare with peer floating-rate funds?

Its 1-year, 3-year and 5-year returns are broadly competitive with the peer group listed here. Axis Floating Interest Rates Fund Direct Growth Plan is ahead on the 1-year and 3-year figures, while this fund remains close to the stronger longer-term outcomes.

What is the risk category and what does the portfolio look like?

The risk category is Balanced Risk. The top 10 holdings account for approximately 27.67% of the portfolio, and the largest holding is 7.53% NABARD at 4.16%.

What are the tax rates and exit load?

Units held less than 1 year attract 20% short-term capital gains tax, while units held more than 1 year attract 12.5% long-term capital gains tax. There is no exit load after the holding period.

Bottom line

ICICI Pru Floating Interest Rates Fund Direct Growth Plan has a measured return profile that looks steadier over longer periods than over the shortest one, but the recent numbers do not break away from its 3-year and 5-year pattern. Compared with the listed peers, it stays in the same competitive band rather than separating itself sharply. The portfolio is spread across many holdings, with the largest positions taking only moderate weights, which may help diversify issuer-level risk. It suits investors who want floating-rate debt exposure with a balanced risk profile and are comfortable with moderate, not aggressive, compounding.

Published on 5 September 2026 at 4:09 PM IST

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RIA disclosure

Mutual fund investments are subject to market risks. Read all scheme-related documents carefully before investing. This review is prepared by Uniapps Investment Adviser Pvt. Ltd. (earlier known as Uniapps Global Research Pvt. Ltd.) under SEBI Registered Investment Adviser registration INA000017639 for general informational purposes and is not personalized investment advice.