Effective Investment Strategies. Sustained
wealth creation.
OUR PHILOSOPHY
Our Unique MEETS Framework
Management
- Quality - Capability and track record
- Capital Allocation – capex is fine if ROE is maintained or enhanced
- Capital Distribution – fair to minority shareholders
- Error in decision – Business errors vs avoidable mishaps
Earnings
- Quality of earnings vs reported numbers
- Actual earnings vs expected
- Cyclical vs Structural earnings
- Companies that can double profits in 4 years or less or where EV/EBITDA can halve in four years
Events/Trends
- Stock movement because of events
- Can be Buy or Sell opportunity
- Events on the horizon
- Disruptive trends/new themes
Timing
- What is the price discounting
- Time frame of investment
- Mean reversion
- Good company is not necessarily a good investment if price is not right
Structural
- Size of the opportunity
- Competitive positioning / MOAT
- Consistent growth in profits
Investment Philosophy
Alpha generators
- Believe in investing with an endeavor to generate alpha over the markets rather than just allocating within benchmark index
- Companies where profitability is expected to grow higher than market average
- Fundamentally underpriced stocks with reasonable growth expectations
Fundamental driven
- Bottom-up research with focus on balance sheet
- Numbers speak more than presentations and hype
- Returns ultimately are all about earnings
Risk reward equation
- Expected returns must justify the risk / uncertainty taken
- A good company might not necessarily be a good stock
- Focus on the price we pay, and value derived
- What is in the price?
Agile and flexible
- Each investment opportunity is looked upon individual merit
- Not constrained to a particular theme or style
- Effectively adapt to changing investment landscape
Patient investors
- Buy and hold
- Invest in a stock as if investing in a business
- Think like a partner
- Active portfolio adjustments to align with market conditions
Happy to be contrarian
- Prefer to be first, early investors
- Do not chase the momentum
- Open to look at companies across sectors and market caps and business cycle
Abakkus Centre, 9th Floor, Param
House, Shanti Nagar, Near Grand Hyatt, Santacruz (East), Mumbai - 400055, Maharashtra, India
| SEBI Reg. No. : MF/088/25/14 |
| Toll Free: 1800 267 1849 |
