This is a compound to simulate some simple caustic effects in ICE.
Get a Grid Pointcloud and a Grid polymesh and a deformed water surface. Place the pointcloud and the poly grid on the same level and the water above them. Apply the Compound to the pointcloud and connect the others appropriately. Voila
EDIT: I just replaced this video with an updated version because I did some updates on the compound which made it 8x faster!
Download here: http://xsi.jankin.com/JV_Caustics.xsicompound