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 has a NAV of ₹502.952 as of 09 Sep 2026 and an AUM of ₹9,118 Cr. Its 1-year, 3-year and 5-year returns are 7.03%, 7.97% and 7.11%, and the scheme sits in the Balanced Risk category. Our view is that it suits investors looking for a debt fund with steady medium-term compounding rather than sharp short-term moves.

The fund’s return pattern is relatively consistent across 1-year, 3-year and 5-year horizons, while the benchmark has been more uneven over the same periods. That combination, along with a diversified debt-heavy portfolio, may appeal to investors who want a floating-rate strategy with a moderate risk profile and a long enough horizon to let the interest-rate profile work through cycles.

Quick facts

Particular	Details
NAV	₹502.952 as of 09 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 09 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.32%	-4.69%
3M	1.77%	0.93%
1Y	7.03%	-7.16%
3Y	7.97%	6%
5Y	7.11%	5.87%

The recent picture is better than the benchmark. Over 1 month, the fund stayed positive while the benchmark was negative, and over 3 months it also held a modest lead. That tells us the strategy has been steadier than the index in the near term, even if the moves are not dramatic.

Over 1 year, the gap is much wider because the benchmark is negative while the fund remains positive. In our view, that matters because it suggests the portfolio has handled the recent rate backdrop more smoothly than the benchmark path. For an investor, this is less about chasing fast upside and more about preserving a positive return profile through a difficult stretch for the index.

The longer view is also constructive. The 3-year and 5-year returns are close to each other and remain above the benchmark in both cases, which points to a fairly stable compounding pattern. The 3-year figure is slightly better than the 5-year figure, but not by much, so we do not see a sharp break between short-term and long-term behaviour. The fund appears to have delivered a consistent debt-style return stream rather than a pattern of large swings.

That consistency is important here because the benchmark has shown more volatility than the fund across the same periods. Our takeaway is that the fund has been better at smoothing the ride than the benchmark, while still keeping medium-term returns in a similar zone.

Source data date: as of 09 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
Axis Floating Interest Rates Fund Direct Growth Plan	7.5%	8.41%	7.23%
ICICI Pru Floating Interest Rates Fund Direct Growth Plan	7.03%	7.97%	7.11%
Bandhan Floating Interest Rates Fund Direct Growth Plan	7.03%	7.94%	6.82%
Franklin India Floating Interest Rates Fund Direct Growth Plan	6.95%	8.2%	7.2%
SBI Floating Interest Rates Fund Direct Growth Plan	6.83%	7.66%	6.75%

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639. On the 1-year measure, the fund trails Axis Floating Interest Rates Fund Direct Growth Plan and matches Bandhan Floating Interest Rates Fund Direct Growth Plan, while staying ahead of Franklin India Floating Interest Rates Fund Direct Growth Plan and SBI Floating Interest Rates Fund Direct Growth Plan. The 3-year and 5-year figures are also a touch below Axis and Franklin on the available data, but ahead of SBI on both horizons. Short-term and longer-term comparisons point in the same direction: the fund is competitive, though not the strongest of the group on the figures shown.

Source data date: as of 09 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 holding is 7.53% NABARD at 4.16%, which is meaningful but not dominant. The drop from the first holding to the tenth is fairly gradual, with weights moving from 4.16% to 2.19%, so the portfolio does not appear to rely on a single security for most of its outcome.

That spread suggests a reasonably diversified set of positions within the disclosed top holdings. With 67 total holdings and the top 10 accounting for 27.67% of the portfolio, the rest of the book likely sits across a longer tail of smaller exposures. In our view, that structure may reduce the influence of any one issuer while still leaving the fund sensitive to rate and credit conditions across several debt instruments.

The mix is also tilted toward corporate debt and government securities, with a small cash and net assets component among the largest positions. That combination may support a steadier return profile than an equity-style portfolio, while still leaving scope for the floating-rate strategy to matter over time.

Source data date: as of 09 Sep 2026

Who should invest

This fund is better suited to investors who are comfortable with a moderate risk debt allocation and want a steadier path than equities. The Balanced Risk label, positive returns across 1-year, 3-year and 5-year periods, and better behaviour than the benchmark in recent periods all point toward a conservative-to-moderate fit rather than a high-volatility one.

The main trade-off is that the fund may not lead the peer set in every horizon, but it has stayed competitive while keeping the ride relatively smooth. A medium to longer investment horizon makes more sense here because the fund’s appeal lies in consistency through rate cycles, not in rapid short-term jumps.

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

Exit load: No exit load after holding period.

Source data date: as of 09 Sep 2026

Frequently asked questions

What is the current NAV of ICICI Pru Floating Interest Rates Fund Direct Growth Plan?
The current NAV is ₹502.952 as of 09 Sep 2026.

What are the fund’s 1-year, 3-year and 5-year returns?
The fund’s returns are 7.03% over 1 year, 7.97% over 3 years and 7.11% over 5 years.

How does it compare with the benchmark?
It has outpaced the benchmark across all the listed periods. The contrast is strongest over 1 year, where the fund is positive while the benchmark is negative.

How does it compare with peer funds on available return data?
It is competitive, but it trails the strongest peer figures on the data shown. It is also ahead of the weaker peer figures in the group on the available periods.

What is the minimum SIP amount?
The minimum SIP amount is ₹100.

Who manages the fund, and what is the exit load?
The fund is managed by Ritesh Lunawat and Darshil Dedhia. The exit load is zero after the holding period.

Bottom line

ICICI Pru Floating Interest Rates Fund Direct Growth Plan looks steady rather than flashy. Its recent returns are in line with its longer-term pattern, and both the 3-year and 5-year numbers remain positive and ahead of the benchmark. Against peers, it stays competitive, though not at the very top of the available figures. The portfolio is spread across 67 holdings, with the top 10 making up a modest share of assets, which supports a diversified debt profile.

Published on 10 September 2026 at 9:19 AM 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.