ICICI Prudential Business Cycle Fund vs ICICI Prudential Large Cap Fund

With 70.09% overlap (ranking 1257 out of nearly 95,528 fund pairs), the ICICI Prudential Business Cycle Fund and the ICICI Prudential Large Cap Fund are remarkably similar. This ‘high’ overlap isn’t surprising – both clearly favour large, established companies. A significant 23.27% of the shared portfolio is concentrated in Banks, highlighting a key driver of this similarity.

HDFC Bank, ICICI Bank, Reliance, and Larsen & Toubro are major holdings in both funds and contribute heavily to the overlap. While weights are similar, the Business Cycle fund allocates slightly more to these key stocks. Noticeably, the Business Cycle fund dips its toes into international exposure with Xtrackers Harvest CSI 300 China A-Shares ETF, something the Large Cap fund avoids entirely.

However, the Large Cap fund demonstrates more traditional large-cap stability with holdings like Infosys and ITC, absent in the Business Cycle fund. This suggests the Business Cycle fund is attempting a more dynamic approach, potentially including cyclical bets, but it’s largely anchored by the same core large-cap names.

This level of overlap is high. You’re not truly diversifying by holding both; you’re essentially doubling down on the same bets. Consider if you need both, or if one fund sufficiently captures your desired exposure to Indian large-cap equities.