ICICI Pru Short Term Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

ICICI Pru Short Term Fund Direct Growth Plan is priced at ₹70.8321 as of 04 Sep 2026, with scheme AUM of ₹19,402 Cr. Its 1-year, 3-year and 5-year returns are 6.61%, 7.91% and 7.18%, and it is tagged as Medium Risk. Our view is that this is a steady debt option for conservative investors who want a relatively measured return profile with a portfolio built around high-quality debt, securitised exposure and a long tail of smaller positions.

The benchmark return pattern is less consistent than the fund’s longer record, so the fund’s own 3-year and 5-year figures matter more than the latest shorter stretch. The portfolio structure suggests some credit and duration sensitivity, so it may suit investors who can stay invested long enough to absorb interim fluctuations rather than those looking for very short holding periods.

Quick facts

Particular	Details
NAV	₹70.8321 as of 04 Sep 2026
AUM	₹19,402 Cr
Expense Ratio	0.45%
Launch Date	01 Jan 2013
Min SIP	₹1,000
Risk Category	Medium Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	No exit load
Fund Managers	Manish Banthia, Nikhil Kabra

The fund is managed by Manish Banthia and Nikhil Kabra.

Source data date: as of 04 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.29%	-2.95%
3M	2.18%	2.27%
1Y	6.61%	-4.43%
3Y	7.91%	5.88%
5Y	7.18%	6.29%

Short-term performance is better read in context. Over 1 month, the fund was slightly positive while the benchmark was negative, which tells us the fund held up more smoothly in the recent stretch. Over 3 months, the fund and benchmark were close, but the fund stayed just below the benchmark return.

The clearer story appears over the longer horizons. The fund’s 1-year return of 6.61% is well above the benchmark’s -4.43%, and that gap suggests much better resilience over the full year. The 3-year return of 7.91% and 5-year return of 7.18% also sit above the benchmark’s 5.88% and 6.29%, which supports a stronger compounding record than the benchmark across medium and longer holding periods.

The pattern in the return path is also useful. The fund does not look like a smooth straight line, but the broader trend is upward and more stable than the benchmark’s weaker recent pattern. That makes the latest 1-month and 3-month figures less important than the multi-year outcome for anyone evaluating this as a debt allocation.

Overall, the fund looks more dependable over longer holding periods than the benchmark does, even though the most recent short stretch is not dramatically ahead. For investors, that means the main question is less about chasing the latest month and more about whether the multi-year return profile fits the role of a short-term debt fund in the portfolio.

Source data date: as of 04 Sep 2026

Should you BUY or HOLD ICICI Pru Short Term?

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
Tata Ultra Short Term Fund Direct Growth Plan	7.09%	7.55%	6.76%
Aditya Birla SL Ultra Short Term Fund Direct Growth Plan	6.78%	7.53%	6.74%
ICICI Pru Short Term Fund Direct Growth Plan	6.61%	7.91%	7.18%
Axis Short Term Fund Direct Growth Plan	6.3%	7.84%	6.8%
Aditya Birla SL Short Term Fund Direct Growth Plan	6.27%	7.75%	6.88%

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

The fund’s 1-year return is below the strongest peer figure in this set, but its 3-year return is the best among the listed funds and its 5-year return is also ahead of the peer figures shown here. That combination tells us the recent stretch is softer than the longer record, while the medium- and long-term pattern remains comparatively strong.

For an investor, the peer table points to a split story: shorter-term momentum is not the standout feature, but the 3-year and 5-year numbers suggest stronger compounding than several close alternatives. That makes the fund more interesting for investors who care about consistency across full cycles than about the very latest 12-month lead.

Source data date: as of 04 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
7.53% NABARD	Corporate Debt	4.86%
7.58% LIC Housing Finance Ltd. **	Corporate Debt	3.86%
9.31% Vedanta Ltd.	Corporate Debt	3.05%
Shivshakti Securitisation Trust **	PTC & Securitized Debt	3.05%
7.44% NABARD	Corporate Debt	2.75%
Siddhivinayak Securitisation Trust **	PTC & Securitized Debt	2.68%
Net Current Assets	Cash & Cash Equivalents and Net Assets	2.6%
7.04% Small Industries Development Bank of India. **	Corporate Debt	2.27%
8.45% Muthoot Finance Ltd. **	Corporate Debt	1.66%
7.57% State Government of Madhya Pradesh	Government Securities	1.59%

The largest holding is 7.53% NABARD at 4.86%, which is meaningful but not dominant on its own. The tenth holding sits at 1.59%, so the weight does fall away as we move down the list, although the decline is not abrupt enough to suggest a single-position-led portfolio.

The top 10 holdings together account for approximately 28.37% of the portfolio, and the fund discloses 76 holdings in total. That combination suggests the portfolio is spread across a long tail of smaller positions rather than being concentrated only in the largest names.

At the same time, the visible bucket is still tilted toward corporate debt and securitised exposure, with a smaller allocation to government securities and cash-like assets. In our view, that mix may matter for both yield potential and day-to-day movement, because several of the larger positions are credit-sensitive and could influence results more than the smaller tail holdings.

To see all holdings, visit the ICICI Pru Short Term Fund Direct Growth Plan page

Source data date: as of 04 Sep 2026

Who should invest

This fund is better suited to investors who can accept medium risk and who want a debt allocation with a multi-year horizon rather than a very short parking place for cash. The 3-year and 5-year return pattern is stronger than the benchmark, while the latest year is still positive and the shortest recent stretch has not broken the broader trend.

It may appeal to investors who prefer a steadier debt fund that can still participate in income-oriented returns through corporate debt and securitised exposure. The trade-off is that the portfolio is not a pure government-securities style holding, so returns may come with more movement than a very low-volatility alternative.

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.

Source data date: as of 04 Sep 2026

Frequently asked questions

What is the current NAV of ICICI Pru Short Term Fund Direct Growth Plan?
The current NAV is ₹70.8321 as of 04 Sep 2026.

What are the fund’s 1-year, 3-year and 5-year returns?
Its 1-year, 3-year and 5-year returns are 6.61%, 7.91% and 7.18%.

How does the fund compare with its benchmark?
The fund has outperformed the benchmark across the 1-year, 3-year and 5-year periods shown here. The benchmark’s 1-year return is -4.43%, while the fund’s is 6.61%.

How does it compare with the peer funds listed here?
Its 1-year return is below the strongest peer in this group, but its 3-year and 5-year returns are stronger than the peer figures shown for the other listed funds. That makes the longer-term picture more supportive than the latest 12-month figure.

What is the minimum SIP amount?
The minimum SIP amount is ₹1,000.

Who manages the fund and what is the exit load?
The fund is managed by Manish Banthia and Nikhil Kabra. There is no exit load.

Bottom line

ICICI Pru Short Term Fund Direct Growth Plan has a short-term return profile that is respectable, but its stronger message is in the 3-year and 5-year numbers, which stay ahead of the benchmark. Compared with the listed peers, the latest year is not the highest, but the longer-term record is more compelling. The risk tag is Medium Risk, and the portfolio leans on corporate debt and securitised exposures across many holdings, so it fits investors who want debt exposure with some yield-seeking flexibility and are comfortable staying invested through normal fluctuations.

Published on 5 September 2026 at 4:42 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.