Investment Philosophy
Portfolio Management.
Portfolio Manager aims to find undervalued, under-researched and underowned companies to build concentrated portfolio of growth companies. It aims to play on top line growth and margin expansion. Portfolio Manager has sector agnostic and market cap agnostic approach for investment. Portfolio Manager’s focus is always on risk and it believes investment is all about managing risks well.
Investment Approaches
Actively managed equity portfolio of 10-12 best-in-class high performing businesses picked from the universe of 5000+ listed companies in India. It is sector agnostic and market cap agnostic. It is purely based on bottom up investing approach and the companies which fits into our investment framework.
Investment Process
Portfolio Manager follows bottom up analysis to pick the stories. It uses multiple sources to identify growth stories of the future. Once identified, it runs through its investment framework. If it fits into the framework, rigorous research is done on the company and the management.
Buying price should be defensive enough to take care of multiple uncertain risks whereas allocation should be optimum to provide better portfolio returns.
Occasionally, Portfolio Manager may also invest in investments in special situations such as turn- arounds, mergers, demergers, corporate restructuring, open offers, arbitrage, etc.
Although Portfolio Manager seek superior returns, its first priority is that its investments produce consistency, protection of capital and superior performance in bad times.
Portfolio Manager aims to find undervalued, under-researched and underowned companies to build concentrated portfolio of growth companies. It aims to play on top line growth and margin expansion.
Investment Framework
Superior Business
Defensive Cash Flow
Strong Franchise Value / market leadershiop
Structural Advantage
Quality Management & Inegrity
Efficient Capital Allocation
Clera Distribution & retentin policy
Minority Shareholder friendly
High Returns
Sustainable ROCE
High ROE with prudent debt level
Reinvestment Opportunity
Attractive Valuation
Balance of valuation multiple compared to growth
Margin of safety
Superior Balance Sheet
Prudent Leverage
Good margins w/ conservative accounting policies
High free cash flow