One Fund to Become a Crorepati by 2026: Insights from S. Naren
In a compelling episode of The Net Worth Show hosted by INDmoney, Sankaran Naren—Chief Investment Officer (CIO) at ICICI Prudential Asset Management Company (AMC)—shares his pragmatic approach to wealth creation. Managing assets worth around ₹10 lakh crore, Naren reveals that even someone at his level advocates simplicity over complexity for most investors. The video’s bold title, “1 Fund to Become Crorepati in 2026,” captures the essence of his message: a single, well-chosen fund can pave the way to significant wealth, particularly through disciplined, long-term investing.
Naren begins by addressing a common myth: that top fund managers are infallible. He openly discusses his own mistakes, starting from his early career in 1989, including getting caught in momentum trends in the mid-1990s and facing prolonged corrections. These experiences, he says, shaped his philosophy—investing isn’t pure arithmetic; it’s about learning from errors, introspection, and building conviction through analysis. After joining ICICI in 2004 following 15 years of personal lessons, he emphasizes that today’s decisions impact millions, making caution even more critical.
One of his most memorable contrarian bets came between 2018 and 2020, when he invested heavily in public sector undertakings (PSUs), metals, and telecom stocks—sectors shunned in favor of “quality” picks at the time. These initially underperformed but delivered strong returns in 2021–22. Naren stresses being a “contrarian with a calculator”: true contrarianism requires rigorous risk assessment, not blind opposition to the crowd. He avoided bubbles like junk infrastructure and real estate in 2007, and later questionable NBFCs, by focusing on fundamentals.
When it comes to his personal finances, Naren keeps it straightforward: his entire net worth is invested in mutual funds. He avoids direct residential real estate in cities due to low rental yields (around 2%) and prefers mutual funds for their regulation and efficiency. He has allocated to global funds during periods when international markets were undervalued relative to India, though he notes that India has become more contrarian recently amid global overvaluations, particularly in US tech and AI stocks.
Naren is cautious about gold and silver right now, calling them among the most dangerous asset classes long-term because of their recent strong performance. He advises against direct exposure and suggests including them only through diversified vehicles. Sectors that excite him include oil and gas (after years of underperformance and potential mean reversion) and possibly IT (despite recent struggles, with AI disruptions in play). He remains wary of overhyped areas like US AI giants, which he compares to past bubbles.
The core of his wealth-building advice revolves around systematic investing and asset allocation. For someone earning a modest salary (e.g., ₹30,000–50,000 per month), he recommends saving first—cultivating the habit—then investing via Systematic Investment Plans (SIPs) in multi-asset or hybrid funds. These funds automatically handle diversification across equities, debt, gold/silver, and sometimes global assets, making them ideal for beginners. They reduce the need for market timing and have historically delivered solid compounding without consistent underperformance.
Naren explicitly supports a one-fund portfolio for many investors, particularly hybrid or multi-asset allocation funds (such as balanced advantage, equity savings, or multi-asset categories). These are beginner-friendly, manage allocation dynamically, and help weather volatility—essential for building resilience during 20%+ market drops. He argues that complexity often harms retail investors; simplicity through one well-managed fund allows focus on discipline and temperament.
On exiting investments, he advises switching from overperforming categories rather than outright selling—multi-asset funds often do this automatically by turning defensive in equities during peaks. His biggest learning for the audience: investing requires temperament, not rocket science. Understand market cycles—low or negative past returns signal opportunity and lower risk, while very high past returns indicate caution and higher risk. Allocate more to underperformed assets and trim overperformed ones. Buy big during cheap years (like 2008 or 2020) and stay invested long-term for the power of compounding.
In essence, Naren’s framework boils down to: save consistently, invest systematically in simple, diversified products like multi-asset funds, embrace contrarian thinking backed by calculations, and prioritize asset allocation over chasing hot trends. For those aiming to become crorepatis by 2026 or beyond, his takeaway is clear—start with one fund, stay disciplined, and let time and cycles work in your favor. This approach, drawn from decades of managing massive funds and personal wealth, offers a grounded path in an often overwhelming investment landscape.
About The Author
