ICICI Prudential Mutual Fund Taxation Indexation Illustration

1. Treasury
Management
March 11, 2024

2. The above is provided only for general information purpose. In view of the different nature of the tax benefits, each investor is advised to consult with his or her own tax consultant with respect to
specific tax implication arising out of their participation in schemes. In the above Illustration Traditional Investment avenue has been taxed at highest tax slab rate. Surcharge at the rate of 15% is
applicable for Individuals and HUF's having total income exceeding `1 crore, for income ` 50 lakhs - `1 crore surcharge of 10% is applicable. The above rates are including Surcharge and Cess and is
basis prevailing tax laws. For illustration purpose only. Actual results may vary. While amount invested in traditional avenue has the highest safety for principal, there is no assurance or guarantee of
future performance of Debt Mutual Funds.
It is necessary to consult tax/financial advisor before making investments in mutual funds. For more details contact your tax advisor.
Taxation Indexation Illustration
Particulars
Amount Invested (`)
Debt Mutual Fund
1,00,000
Traditional Investment Avenue
1,00,000
Assumed Rate of Return (CAGR %) 8.00% 8.00%
No. of Days 1100 1100
Maturity Proceeds 1,26,104 1,26,104
Total Return/Interest for the period 26,104 26,104
Indexation Benefit Yes No
Indexed Cost of Investments (Assuming 5%) 1,15,763 NA
Taxable Amount 10,342 26,104
Applicable Tax Rate (Incl. Surcharge & Cess) 23.92% 35.88%
Tax Liability 2,474 9,366
Receipts net of Tax 1,23,630 1,16,738
Post-tax return 7.29% 5.27%
Tax-Efficiency
generates
additional
~2% returns
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 2

3. What are Bonds
Loan
to a borrower which in return
issues bond in the scheme
Bond
Principal Interest Rates Loan Tenor
Coupon Rate
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 0
Face Value Maturity Date
…but tradable in the secondary market

4. Bond’s Cash Flow
10 10
110
Year 1 Year 2 Year 3
The above is for illustrative purposes only. Actual results may vary.
Face Value
INR 100
Maturity
3 Years
Coupon
10% p.a.
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 05

5. Source: Crisil Rating Scales & Internal Research, Data as on 11 Jul 2022. Past performance may or may not be sustained in future.
Rating Category
AAA
AA
A
BBB
BB
B
C
D
Highest Safety
High Safety
Adequate Safety
Moderate Safety
Inadequate Safety
High Risk
Substantial Risk
Default
G-sec and corporate bonds data as of Jul 11th 2022 * Weighted average yields for
G-sec data 6 month G-sec: 182 day T-Bill rate; 1 year G-Sec: 4.56% GS 2023; 3 year
G-Sec: 5.22% GS 2025; 5 year G-Sec: 06.79 GS 2027; 10 year G-Sec: 06.54 GS 2032
Yields
(%)
Gsec* AAA AA+ AA AA- A+
6 month 5.70 5.77 6.92 7.89 8.88 9.89
1 Year 6.30 6.50 7.65 8.62 9.61 10.62
3 Year 6.90 7.10 8.25 9.22 10.21 11.22
5 Year 7.20 7.42 9.15 10.12 11.11 12.12
10 Year 7.43 7.79 9.52 10.49 11.48 12.49
Each rating is a representation of the relative degree of risk associated with debt instruments
based on the expected likelihood of their timely payment
Each rating agency uses different rating scales for different kinds of ratings
Symbol
(Rating category)
Description
(with regard to the
likelihood of
meeting the debt
obligations on time)
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 07

6. Interest Rate Risk
Interest Rate Risk is a risk in which the interest rates may go uppushing the
bond prices (debt fund NAVs) down
Interest rates and bond prices (debt fund NAVs) share an inverse relationship
Interest
Rates
Bond Prices
/NAVs
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 6

7. The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 7

9. Floating Rate Bonds
Start
5.5%
6 Months 12 Months 18 Months
Rate Hike
Rate Hike
Rate Hike
Floating Rate Bonds (FRB) are bonds that have a variable coupon, equal to a money market reference rate,
like MIBOR or T-bill, plus a quoted spread. These bonds aim to hedge against rising interest rate risk and
provide market linked returns
Bond’s coupon rate is reset or changed at every predefined interval. The new coupon rate on reset is linked
to an external benchmark, e.g. T-bill, Call Rate.
6.5%
6%
Coupon
Rate
Macaulay Duration, is calculated on known cash-flows
(coupon, principal) from the bond. This is straightforward
for Fixed-rate Bonds as the coupon remains constant for the
entire term. But not so in Floating-rate Bonds, as the coupon
is market-linked and changes at predefined intervals.
This is why,
A Natural Floating-Rate Bond maturing in 10 years with an
upcoming coupon in six months will have an Average
Maturity of 10 years but its Macaulay Duration will be 0.5
years or less.
DY
K
The above is for illustrative purposes only. Keeping all things constant. Actual results may vary.
The information contained herein is solely for private circulation for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors. 9

10. YTM (Yield to Maturity) Movement
The information contained herein is solely for private circulation for reading / understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.
Data as on Nov 30, 2022. YTM of the scheme is not in any manner indication of future scheme performance. Past performance may or may not be sustained in future
Accrual improving with interest rates moving higher
4.6%
5.2%
5.6%
6.2%
6.8%
7.2%
7.6% 7.8% 7.9%
8.6%
3%
4%
5%
6%
7%
8%
9%
ICICI Prudential Ultra Short
Term Fund
ICICI Prudential Floating
Interest Fund
ICICI Prudential All
Seasons Bond Fund
ICICI Prudential Medium
Term Bond Fund
ICICI Prudential Credit Risk
Fund
Change in YTM of Accrual Focused Debt Schemes of ICICI Prudential Mutual Fund
30-Sep-21 30-Nov-22

11. Indicative Investment Horizon for our Select Schemes
3-6 Months 6-12 Months Over 1 Year Over 3 Years
Credit
Quality
Reasonable
Accrual ICICI Prudential Credit Risk Fund
ICICI Prudential
Medium Term Bond Fund
Combo ICICI Prudential
Ultra Short Term Fund
ICICI Prudential
Floating Interest Fund
ICICI Prudential
All Seasons Bond Fund
Reasonable
Quality ICICI Prudential Savings Fund
ICICI Prudential
Banking &PSU Debt Fund
ICICI Prudential
Short Term Fund ICICI Prudential
Long Term Bond Fund
Credit Risk Scheme
Schemes having Spread
Assets Allocation
11
The asset allocation and investment strategies will be based on the Scheme Information Document of the scheme
The information herein is solely for private circulation and for reading/understanding of registered Advisors/Distributors and should not be circulated to investors/prospective investors.

12. Fixed Income Quants as on Dec 2022 end
31-Dec-22
Scheme Name
Average
Maturity in
days
Average
Maturity in
Years
Yield To
Maturity
(Annualised)
Modified
Duration in
days
Modified
Duration in
Years
Macaulay
Duration in
days
Macaulay
Duration in
Years
ICICI Prudential Overnight Fund 2.7 0.01 6.48% 1.6 0.00 1.7 0.00
ICICI Prudential Liquid Fund 52.9 0.14 6.69% 47.6 0.13 50.8 0.14
ICICI Prudential Equity - Arbitrage Fund 36.5 0.10 6.49% 32.7 0.09 34.8 0.10
ICICI Prudential Money Market Fund 153.2 0.42 7.06% 140.9 0.39 151.2 0.41
ICICI Prudential Ultra Short Term Fund 153.5 0.42 7.32% 132.0 0.36 141.2 0.39
ICICI Prudential Credit Risk Fund 846.5 2.32 8.72% 457.8 1.25 489.3 1.34
ICICI Prudential Medium Term Bond Fund 1,449.8 3.97 8.16% 842.2 2.31 890.7 2.44
ICICI Prudential Corporate Bond Fund 1,589.9 4.36 7.74% 363.4 1.00 387.5 1.06
ICICI Prudential Short Term Fund 1,721.0 4.72 7.85% 506.8 1.39 538.3 1.47
ICICI Prudential Savings Fund 1,978.8 5.42 7.61% 251.2 0.69 268.3 0.74
ICICI Prudential All Seasons Bond Fund 2,174.5 5.96 8.05% 724.3 1.98 765.3 2.10
ICICI Prudential Bond Fund 2,100.1 5.75 7.53% 1,021.9 2.80 1,064.0 2.92
ICICI Prudential Banking & PSU Debt Fund 2,705.2 7.41 7.81% 675.5 1.85 727.7 1.99
ICICI Prudential Gilt Fund 3,224.2 8.83 7.49% 565.7 1.55 588.6 1.61
ICICI Prudential Floating Interest Fund 3,218.0 8.82 7.86% 234.3 0.64 253.1 0.69

13. Riskometer
ICICI Prudential Overnight Fund
(An open ended debt scheme investing in overnight securities. A relatively low
interest rate risk and relatively low credit risk.)
ICICI Prudential Liquid Fund
(An open ended liquid scheme. A relatively low interest rate risk and moderate
credit risk.)
ICICI Prudential Banking & PSU Debt Fund
(An open ended debt scheme predominantly investing in Debt instruments of
banks, Public Sector Undertakings, Public Financial Institutions and Municipal
bonds. A relatively high interest rate risk and moderate credit risk.)
This product is suitable for investors
who are seeking*:
• Short term savings
• An overnight fund that aims to
provide reasonable returns
commensurate with low risk and
providing a high level of liquidity
This product is suitable for investors
who are seeking*:
• Short term savings solution
• A liquid fund that aims to provide
reasonable returns commensurate
with low risk and providing a high
level of liquidity
This product is suitable for investors
who are seeking*:
• Short term savings
• An open ended debt scheme
predominantly investing in debt
instruments of banks, Public
Sector Undertakings, Public
Financial Institutions and
Municipal Bonds.
ICICI Prudential Money Market Fund
(An open ended debt scheme investing in money market instruments.
A relatively low interest rate risk and relatively low credit risk.)
ICICI Prudential Savings Fund
(An open ended low duration debt scheme investing in instruments such that the
Macaulay Duration of the portfolio is between 6 months and 12 months. A
relatively high interest rate risk and moderate credit risk.)
ICICI Prudential Floating Interest Fund
(An open ended debt scheme predominantly investing in floating rate
instruments (including fixed rate instruments converted to floating rate
exposures using swaps/derivatives). A relatively high interest rate risk and
moderate credit risk.)
This product is suitable for investors
who are seeking*:
• Short term savings
• A money market scheme that
seeks to provide reasonable
returns, commensurate with low
risk and providing a high level of
liquidity
This product is suitable for investors
who are seeking*:
• Short term savings
• An open ended low duration
scheme that aims to maximize
income by investing in debt and
money market instruments while
maintaining optimum balance of
yield, safety and liquidity.
This product is suitable for investors
who are seeking*:
• Short term savings
• An open ended debt scheme
predominantly investing in floating
rate instruments.
Please note that the Risk-o-meter(s) specified will be evaluated and updated on a monthly basis. The above riskometers are as on Nov 30, 2022. Please refer to https://www.icicipruamc.com/news-and-updates/all-news for more details..