ICICI Prudential Asset Management Company (AMC) announced the launch of ICICI Prudential Dividend Yield Equity Fund, an open ended equity fund that aims to provide medium to long term capital gains and/or dividend distribution by investing in a well-diversified portfolio of predominantly equity and equity related instruments, which offer attractive dividend yield.

The portfolio will be managed by Mrinal Singh, fund manager, ICICI Prudential AMC & Vinay Sharma, Fund Manager, ICICI Prudential AMC.

The fund would invest predominantly in companies that have dividend yield greater than the dividend yield of CNX Nifty Index (last released /published by NSE), at the time of investment.

Speaking on the launch of this fund and the thought behind it, Nimesh Shah, MD & CEO, ICICI Prudential Asset Management Company said, "Companies with a good track record of paying high dividends yields are seen as better investment options. Investing in such companies is also one of Value Investing Strategy. In a bull market, such companies could add to the overall capital appreciation and improve gains. In a bear or volatile market, they could compensate for the limited scope of capital appreciation.  Hence, a high dividend stock could find favor in any market conditions."

The minimum application amount for the fund is Rs. 5,000 (plus in multiple of Rs 1) and thereafter, one can avail the Systematic Investment Plan (SIP) with minimum additional application amount of Rs 1,000 (plus in multiple of Rs 1).