The Stallion Asset PMS Way of Investing: How We Spot New Trends and Leaders

Growth investing is the main tenet of Stallion Asset PMS, a Portfolio Management Service SEBI Registered (INP000006129). Contrary to most portfolio management firms with corporate support, we began as a research analyst firm and evolved into a portfolio management firm due to our consistent performance in providing research analyst services that enable our clients to outperform the market consistently. We specialize in purchasing top-notch midcap firms that the analyst community frequently overlooks. We strive to generate CAGR returns of at least 25% for our clients using our distinctive investment philosophy of spotting trends and minimizing risk.

How does your investment philosophy help you stay on top of the market trends?

Instead of using the Buy and Hold method, we typically use the Buy and Rotate technique. Each bull market has a unique leader, and we identify that leader in each bull market and follow it. There cannot be a bull market without increasing earnings; thus, we always invest in industries that are predicted to increase by more than 20% over the next three to five years. The last bull market's winners won't be in charge of the upcoming bull market. Instead of fresh 52-week lows, we prefer to invest in firms making 52-week highs. The more the market believes in the sustainability of growth, the more the stock will be valued for long-term investment.

How can your investment management strategy benefit from inflation?

Our portfolio is made up of businesses that typically resist inflation. We want to ensure that our businesses will succeed regardless of all these macro events, whether high inflation, low inflation, rising or falling interest rates, or whatever else comes our way. We continue to believe that businesses that are market leaders or developing leaders can endure through all market cycles due to their position in the market. Our portfolio typically remains well-balanced across market cycles since it typically consists of four sectors: consumer, pharmaceutical, financial, and technology. While consumers and pharmaceuticals support us in difficult times, finance and technology support us in prosperous times.

Has the current state of the war affected your portfolio's results?

We understand that terrible ones and vice versa always follow happy times. We had IL&FS in 2018, Covid in 2020, and the conflict is now. We've come to understand that individuals who profit from these difficult times are always rewarded in prosperous times. Of course, hindsight is always 20/20. Very simple to say but challenging to do because emotional control is also required.

The goal is to continue investing during good times and bad. This is why we maintain a low beta for our fund while ensuring that we still aim to outperform the market. We intend to assist our clients for the next ten years, and we are optimistic about new themes. Our office has a saying, "Never be too hopeful about India, but do not be too pessimistic either." Keep your cool, invest in reputable companies that are market leaders or emerging market leaders, follow the market, eliminate losers, and ride winners.

For our firm, risk management is crucial. Risk management and stock selection would be given equal weight if we had to decide. You must both conserve and generate capital. Capital creation is impossible without capital conservation. However, you also need to know when to be aggressive and defensive. In addition to being wealthy, the goal is to maintain that wealth. This has been observed in all market veterans over the past 30 years. The ones who made it were the ones who survived. Hitting sixes nonstop won't work; you must also know when to be aggressive and defensive. Our philosophical framework makes this possible for Stallion Asset PMS. A mix of leaders and emerging leaders enables us to profit from market gains while also falling much less when the markets are correct. Our objective is to deliver ALPHA, produced on both sides, by outperforming the market when it rises and falls much less than when it is correcting.

Review, Strategies, Returns, Charges, and more for Accura Cap Alpha 10

One of the greatest PMS houses in India is Accura Cap Alpha 10. Dr. Naresh Gupta and Raman Nagpal founded the PMS. The Accuracap PMS has demonstrated its worth by outperforming the Indian Capital Market over a long period. They concentrate on maintaining Propriety Finance. A boutique in fund management is called Accuracap. This article will go into great detail regarding the Accuracap PMS review, including its costs, returns, advantages, and more.

A review of Accuracap Portfolio Management Service in detail can be seen below:

Raman Nagpal and Naresh Gupta launched the company in 2007. The well-known scientist, business executive, and researcher, Mr. Naresh Gupta.

He holds a degree in computer science from Maryland University and a gold medal from a renowned IIT. He has actively managed a company inventor and a global business analysis. He served as the executive chairman of the acclaimed Adobe Systems before founding Accuracap. He is interested in e-commerce trends, stock marketing, data analytics, and challenging space problems. Mr. Raman Nagpal, on the other hand, is a computer scientist who works as a business executive and a social entrepreneur. He completed his CFA and his master's degrees in the field of computers at BITS Pilani. He holds a corporate directorship certificate. Mr. Raman Nagpal was a member of both Adobe India and the Morpheus Global Alliance. He has a wealth of expertise in managing multinational corporations. He has been linked to the $200 million in technology that his former company, Adobe Systems, will receive.

Family offices, HNIs, and institutional investors rely on Accuracap to preserve third-party capital. Accuracap now controls over $230 million in money, primarily in the Indian equity market.

The company holds that a portfolio contains several excellent companies held for a short or long period to disrupt the market and garner fair valuation. A unique algorithm provided by Accuracap to the stock market thoroughly examines each company falling under the marking cap. They acquire enterprises for a very affordable price, and then they seize the competitive edge of that company.

Types of Accura Cap PMS 

Discretionary and Nondiscretionary are the two categories of AccuraCap Portfolio Management Services.

The company offers its clients both discretionary and nondiscretionary PMS. The customer's interest or preference determines the sort of PMS they choose.

If a customer chooses a discretionary PMS, the portfolio fund manager makes the decision. Nondiscretionary PMS requires that the investor alone make all decisions.

Accurate Capital PMS Strategy

The future of each investment is determined by the three fundamental methods used by PMS firms. These three strategies—Large-cap, Mid-cap, and Small-cap—are used in the Indian capital market.

The company uses these tactics to conduct business on the stock market. These tactics define Accuracap's potential future. The business strives to assist the cutthroat stock market. By the company's core values, they use effective and adaptable approaches to handle money.

The business is essentially a smart one. To briefly illustrate, they concentrate on developing the following two categories of portfolios:

• Strategy for Accura Cap Alpha 10

The key element of this strategy is to invest in a diversified portfolio of solely top-tier businesses that fall within the large-cap category.

The criteria used to select the stocks are based on fundamental and technical factors. A unique artificial intelligence-based algorithm that was developed over ten years is used in this situation. The top 100 companies' stocks are taken into consideration.

 

• The Accura Cap Pico Power Strategy 

The investment aims to build a diversified portfolio using only top-tier mid-cap companies. An algorithm based on intelligence takes into account both fundamental and technical elements. The companies under consideration fall between the market capitalization range of 101 to 500.

The spatial-temporal analysis policy is used by Accura Cap Alpha 10. Following their thorough fund research, they select the transactions that are market-viable.To understand the psychology of the market, they develop a "pendulum hypothesis." The business adopts a cautious and risk-averse strategy. Accuracap utilizes in-depth game knowledge that has helped it establish itself as a leading PMS house among incoming investors.

Learn more about the ASK Investment Managers

Leading asset and wealth management firm ASK Investment Managers Limited (ASKIM) primarily serves India's HNI and UHNI markets. One of the first businesses in India to get a license for portfolio management services, our company is presently one of the biggest providers of discretionary equity portfolio management services.

We created India's first AIF with digital client onboarding, a paperless and simple process. We were the first Portfolio Management Company to establish operations in GIFT city for foreign investors, among other recent industry-first achievements. Through segregated accounts and commingled funds, we only invest in listed Indian equities on behalf of clients with residences in India and those located abroad.

We offer:

• A distinct emphasis on listed Indian stocks
• only using discretion to manage investments
• When choosing clients, put a focus on philosophical compatibility and attitude congruence.
• HNIs, institutions, pension funds, endowments, SWFs, family offices, and multi-managers are some of our current clients.

Our Principles

At ASK Investment Managers, our fundamental concept focuses on two main objectives: first, achieve capital protection (over time), then follow it with capital appreciation. We look to invest in Indian shares operated by high-quality management, have sustained long-term development potential, and are available at fair and reasonable pricing.

Principles and Overarching Investing Philosophy:

• More assurance of earnings versus a merely quantitative increase in earnings
• superior and consistent quality of earnings as opposed to just a quantitative increase in earnings
• Superior quality at a fair price as opposed to subpar quality at an artificially low price

Our investment strategy guarantees:

• Instead of valuing the price, price the value.
• investing with discipline in excellent companies
• assembling a portfolio of prospects for compounding
• Purchase "growing" companies for "value" pricing.

Our strategy is to purchase high-quality companies at reasonable costs rather than subpar ones for a bargain. Additionally, our Key Investment Attributes help design investment strategies to accomplish a particular attribute.

Our Favorite

Implementing the basic principles consistently and firmly under all market circumstances is what demands character and makes all the crucial difference. Our main competitive advantage comes from performing these simple tasks with consistency and discipline and executing them well.

ASK Investment Managers upholds the following:

• strict devotion to the investment process or philosophy
• The strong internal proprietary research team with ample resources and expertise
• dependable connections and industrial connections
• thorough knowledge of Indian industry and businesses
• accentuate your long-term performance history

 

The Methodology of Capital Allocation

• Identify opportunities for businesses that are big and growing quickly.
• Find large businesses with a competitive edge (PBT of at least Rs. 100 crores): this allows for the expansion of the market share and the size of the opportunity and may be sustained for several years.
• The firm's quality must be high to be able to fund rapid development through internal cash flow.
• The portfolio should grow by at least 25% annually, and each company we buy should grow by at least 20% compounded annually.
• The company's return on capital employed (ROCE), with surpluses for dividends, should be more than 25% to finance this expansion.
• To achieve compound growth year after year, management needs to be driven and invested (uncompromised corporate governance is a must)

Consequently, invest in companies with a reputable business house at the helm with at least a 25% stake.

We want to locate these companies at a slight discount to their underlying value, hold onto our investment for a long time, and profit as EPS grows.

ASK Investment Managers: How excellent is it?

ASK Investment Managers portfolio performance is highly appealing and satisfying. It helps the business establish a reliable clientele. Over ten years, portfolio management service returns have surpassed mutual fund returns. ASK makes investments with a focused and organized approach. The likelihood of a profitable return on the investment portfolio so grows. For every client to feel comfortable dealing with the business and to have a long-term relationship with it, the organization maintains solid relationships with them.

Learn More About The Alchemy PMS

Alchemy PMS High Growth is a Multi-Cap PMS that adheres to the philosophy of "Growth at a Reasonable Price." This philosophy stems from the fact that India is an economy experiencing high growth, and one should invest in businesses that are best positioned to take advantage of new domestic and international opportunities.

PMS High Growth Alchemy By investing in equities and equity-related securities across a range of market capitalization, with a focus on mid-caps, Diversified seeks to generate long-term gains. Additionally, it is a portfolio with high risk and high return that is primarily designed for investors with a five-year investment horizon who wish to benefit from India's growth story.

Additionally, the approach is based on the idea that investors will consistently produce superior returns across market cycles by investing in growth companies with strong management teams. The fund manager's goal is to invest in companies that take advantage of significant and expanding external possibilities, have a competitive edge in effectively pursuing those opportunities, and have scalable business models with higher than average Return on Capital Employed (ROCE). While the portfolio's core investments are growth firms, the fund manager also invests in value opportunities and specific circumstances that might arise due to market cycles.

Prime Highlights of the PMS are

1. A multi-cap strategy that gives stock selection flexibility.

2. Diversification The portfolio typically has a maximum of 25 stock ideas and offers the possibility of overweighting particular stocks.

3. Make sure to allocate at least 25% of your portfolio to large-cap companies.

Our Investment Philosophy 

For Equities, Performance is dependent on just two things.

 

• Purchasing a High-Quality Portfolio

A good portfolio gives the best risk-adjusted returns while not being overly diverse. With us, this is found using objective selection based on our in-house analytics. The majority of financial managers engage in product and social selling because it is simple to do so. We are transforming the wealth management sector by concentrating on fundamental, in-depth insights. We seek our clients' long-term prosperity while upholding our clients' insight and integrity.

 

• Putting it up for a while

When investing, it is simple to have a long-term view aspirationally, but it is actually quite challenging to sustain. Our proprietary, instructive, ultra easy, and eloquent content accomplishes this with us. Maintaining a portfolio demands strong confidence at all times; otherwise, one is prone to sell early due to emotional or impatient traps. We make sure that our clients make wise financial choices.

 

STOCK SELECTION PROCESS IN INVESTMENT:

 

Cutoff for Market Capitalization: INR 4,000 Crores

Investible stocks must pass a rigorous process to remove value-destroying elements, and they are occasionally rejected based on risk and fundamental forensic research.

More than 50 quantitative fundamental characteristics and combinations are used to screen the universe of investible.

Filtered highest ranked stocks according to points.

 

Final Thoughts:

Alchemy PMS has established selling guidelines that take into account market reflexivity. Alchemy Capital Management was established in 1999 by Lashit Sanghvi, Ashwin Kedia, Rakesh Jhunjhunwala, and Hiren Ved, who have 100 years of expertise in the Indian equity market. Alchemy has developed its reputation over the last 19 years. It is now one of the nation's largest suppliers of Portfolio Management Services (PMS), having advised and invested in group assets totalling more than $1 billion (as on 31st March 2022).

 

Insights On SageOne Diversified Portfolio

Long, difficult groundwork is an extremely inefficient investment area in today's society, and it will remain so for the foreseeable future. Mr. Samit Vartak, a cofounder of SageOne Diversified Portfolio Investment, launched the company in 2012. They provide investment management services through PMS and AIF. We seek to go multi-level deeper in every aspect of investment decision, from absolute growth to relative positioning, immediate triggers to long-term moats, top management to mid and ground-level personnel, and end-users to distribution channels and supply drivers. When assessing the company's long-term potential, this gives us an advantage over our competitors.

The philosophy of investment

High-Growth Companies

We search for companies that gain market share, as this accounts for their earnings growth.

The company should have more than 20% long-term growth potential per year, with little incremental stock dilution (save for financial companies) required to accomplish that growth.

Management that is both clean and competent

The most crucial thing to remember in India is to avoid managements who are here to defraud investors and believe us, and we know a lot of them.

We have a "zero" tolerance policy here, and we prefer to pass up a fantastic opportunity even if we have reservations about the management's integrity.

Competitive Advantage That Lasts

We look for companies with a long-term competitive advantage, as evidenced by their market leadership, in areas that appeal to long-term capital development.

Return on capital (ROCE) is an excellent indicator of a company's management team's quality and competitive advantage. Typically, we look for a minimum of 20% ROCE and ROE attained without excessive leverage (debt).

About the Founder:

Samit Vartak, the Founder and Chief Investment Officer (CIO) of SageOne Investment Managers LLP, is the Chief Investment Officer and Founding Partner. Since 1999, Samit has been a stock market trader, and during that period he has witnessed and examined various bull and bear markets. He has advised different firm executives in the United States and India on business strategy, profit optimization, growth, and valuation. This background provides him with the foundation for a deeper understanding of enterprises and their fair market value. He has been a pioneer in spotting and investing in various businesses across industries before they became well-known. Samit actively promotes his knowledge and learnings through widely read investor newsletters, CFA society/industry forums/business schools lectures, and media interviews.

Samit returned to India in 2006 following a decade in the United States, first in corporate strategy with Gap Inc. and PwC Consulting, and then in company valuation and mergers and acquisitions with Deloitte and Ernst & Young. Samit holds a CFA® charter, an MBA from Washington University in St. Louis' Olin School of Business, and a Bachelor of Engineering degree with honors from Mumbai University's Sardar Patel College of Engineering (SPCE).

There are few sectors on which this investment sage is meditating

 Chemicals of a Special Type

China controls almost 70% to 80% of the market. Because of apparent incentives, the cost of producing these chemicals was lower in China, and the government was unconcerned about pollution.

Having said that, China's perspective is shifting. As part of a pollution-control strategy, the country closes down several factories. This will directly impact Chinese industrial enterprises that rely on these chemicals, prompting them to look for new suppliers. On the other hand, in India, most plants are pollution-free. With China's crackdown, the cost structure is approaching that of India. In other words, Indian manufacturers of specialty chemicals can compete with their Chinese counterparts.

If China succeeds in regaining its footing, its pricing will most likely be comparable to India's. As a result, it is believed the specialty chemicals industry in India has a lot of promise.

Materials for Construction

In India, the market for building materials is largely unorganized. However, it is believed that as a result of the recently introduced e-way bill, many cash-based businesses would either close or see their costs rise as a result of having to pay taxes.

As a result, the formal men will gain access to roughly 70% of the market, even if there are only a few of them.

Ancillary Auto

Auto Ancillaries is a component supplier to OEMs, but it has a better track record with consumables.

When studying a business, some components can only be used once over the vehicle's existence, such as the engine or the camshaft. However, components such as cables, tyres, and bearings need to be replaced from time to time. These take into account consumables in the auto industry, where demand is often consistent, resulting in significantly stronger business cycles.

Why choose us?

AIF & PMS Experts wishes to help our clients generate long-term wealth by establishing trust in governance, maintaining transparency, and encouraging long-term asset growth. Our diversified products, analytics, and tools are critical to our success and enable us to achieve our objectives.

What is the most effective method of investing in AIF and PMS?

• Online transactions are simple to do. Our qualified employees is happy to guide you.
• We'll keep an eye on your portfolio.

We are confident in India's ability to progress. We understand the importance of investments as a driver of economic growth. Our Founder, Mr. Vikas Agrawal, exemplifies this belief. His extensive experience, notably in Alternative Investing, has provided him with a distinct viewpoint on the economy. SageOne Diversified Portfolio invests in various assets, as the name suggests. It enables us to enter a hitherto untapped market and develop efficient investment strategies. Because of our unique manager-centric investment methodology, we can focus on high-performance investing theories and apply the L-E-A-P of wealth. The SageOne Diversified Portfolio seeks out niche business leaders whose earnings are expected to grow at a pace of > 20% (CAGR) over the next three years, owing to industry expansion and market share gains from the competition. During times of stress, the fund aims to outperform the competition. Contact us today.

 

Insights On IIFL PMS

IIFL PMS is a well-known service provided by IIFL, a full-service brokerage and financial company in the sector. It is well-known for its years of experience and a staff of share market and investment specialists that work tirelessly to help clients achieve their investment objectives.

Let's take a closer look at IIFL's portfolio management services and see how this financial institution handles it for its clients, including the strategies used, the fees charged, and so on.

PMS TYPES IN THE IIFL

Clients can choose between discretionary and non-discretionary services from IIFL. Clients can also receive consulting services and these two types of services.

•        Discretionary service is a service that is provided at the discretion of the client
•         Service provided on a non-discretionary basis
•         Service of advice

PMS service with discretion: In the event of a discretionary PMS service, the portfolio manager manages a client's assets independently according to the terms of the manager-client agreement. The portfolio manager is in charge of the portfolio's scheduling and essential steps.

 The portfolio manager's investment or disinvestment decision is final, and a client is required to agree.

PMS service that is not discretionary: In the event of a non-discretionary PMS service, the portfolio manager's job is confined to counseling the customer on various types of investment possibilities and exit plans. In addition, recommendations and reports are delivered regularly, along with guidance if the client needs it. In this situation, the client makes the decision, and the portfolio manager acts accordingly.

 PMS Advisory Service: Under this sort of PMS service, the portfolio manager advises the client on fund management and other support services. As the name implies, the client whose funds are being invested bears most of the responsibility.

 DETAILS ON IIFL PMS STRATEGIES

IIFL PMS provides a variety of strategies based on the customer's investment profile, risk tolerance, and other relevant parameters. For the fund management of the client's portfolio, the organization employs one or more strategies.

 The first two most essential PMS strategies supplied by the organization are:

1.  Portfolio of IIFL Multi caps
2.     Portfolio of IIFL Multicap Advantage

 MULTICAP PORTFOLIO OF THE IIFL

The strategy aims to generate long-term capital from the clients' investment portfolios. The Multicap portfolio is the focus of the strategy. The technique looks for stocks trading at a substantial discount to their intrinsic value.

Quality management, reasonable valuation, continuous growth, a sound business model, and so on are all part of the strategy's bottom-up approach.

Sectors and equities in the portfolio have a fixed position, and these sectors strategically alter when the economic cycle changes. The IIFL Multicap portfolio consists of 15-20 equities from two to five high-confidence sectors.

MULTICAP ADVANTAGE PORTFOLIO OF THE IIFL

The main goal of the Multi-cap advantage portfolio is to generate long-term capital growth by investing in Multi-Cap stocks. Or, to put it another way, it considers large-cap, mid-cap, and small-cap equities for portfolio investment.

The technique concentrates on stocks trading at a large discount to their real value.

This strategy's central concept is the exponential exploration of the Indian economy. Those companies' profit history is readily observable and consistent. The technique protects the investment portfolio's downside by purchasing a put option. It's a safety net against the impending market meltdown.

 Portfolio investment division:

•  94 percent of the corpus is invested in equity.
• There is a 6% corpus in a PUT option at the money.

 The brand image of IIFL PMS in the financial sector can be deduced from its name alone. The firm provides a variety of strategies that cater to various investor objectives. These techniques produce excellent results, and clients are pleased with the returns they receive. The investment programs' flexibility is a major relief for investors. Clients benefit greatly from the customer assistance system.

However, the cost is an area where IIFL PMS may be improved since it can be positioned in a higher-than-average pricing range in this field. Nonetheless, it ranks as one of India's best portfolio management service providers.

Also read What About Purnartha Investment Advisors? 

What About Purnartha Investment Advisors?

Purnartha Investment Advisors, a SEBI-registered firm, is your genuine wealth-building partner, offering extensive equities research and insight-based tailored investment advice.

Purnartha Investment Advisers Pvt. Ltd has a philosophy-based investment strategy. Purnartha Pms adheres to the philosophy that there are no shortcuts to riches. Long-term investments are the focus of Purnartha Investment Advisers Pvt. Ltd. They concentrate on non-cyclical businesses. They believe that middle-class values of debt-free growth secure better and higher profits.

 How does Purnartha decide which firms are worth investing in?

 It is never a good idea to invest in a company based on speculation or media hype. Purnartha Pms use a careful approach to ensure that equities pay consistently in the short and long run.

The company's history

 The company's history is the first consideration in its evaluation. Purnartha's team of analysts examines the company's 11-year credit cycle to see how GDP variations have impacted positive cash generation and whether or not the expansion has been sustainable.

 Furthermore, the analysts evaluate the innovative and prospective business models that push the boundaries of the existing market. On a fundamental level, the company's core structural drivers and the promoters' interests take up a significant portion of the evaluation process.

Increase in Volume

 Purnartha analysts look at its growth potential based on its entrepreneurial value and operating cash flow measures. In addition to appraising how the firm has fared over the last decade, the full review includes estimates supported by analytics about how the company will perform over the next five years.

Checking the Channels

 The organization's underlying development drivers, stakeholder engagement, and favourable past present a fairly realistic picture of how the company will grow. Purnartha Analysts then identify the key persons responsible for driving the firm forward, such as distributors, merchants, suppliers, customers, competitors, and so on. Do the appropriate channel checks to gain insight into the corporate culture and consumer behavior, and so on.

Valuation

 Analysts also employ correct data and research to create profitable portfolios, which they use to deliver valuable wealth-building and investing advice.

Purnartha's concept is founded on the idea that its success should be measured by its critical and basic growth drivers. For those unfamiliar with financial jargon, consider examining a company's potential and worth in the same way you would analyze the value of an asset you want to invest in.

 The Role of Fund Managers

Working with multinational investment organizations has given Rahul Rathi 15 years of investing and risk management experience. Purnartha's core investment strategy is influenced by his professional and personal heritage of producing extraordinary fortune in the stock market. Rahul has groomed and led a competent and experienced research team with a great performance track record, with a Master of Business Administration degree from Carnegie Mellon University in the United States and a Polymer Engineering degree from the University of Pune.

Purnartha Investment Advisers Pvt. Ltd also focuses on companies with no net debt or net cash. Net cash companies are those whose growth is fueled by internal accruals rather than debt. Purnartha's other criterion is that they only invest in businesses where the owners have a stake in the outcome.