Invesco India Business Leaders Fund

4 Value Research
Change from previous, NAV as on Oct 21, 2016
Category: Equity: Large Cap
Assets: R 121 crore (As on Sep 30, 2016)
Expense: 2.43% (As on Sep 30, 2016)
Investment Objective

The scheme will invest primarily in equity and equity related instruments including equity derivatives of companies which should be leaders on the respective industry.

Fund Managers
+ Vetri Subramaniam since Jul 2009
+ Vinay Paharia since Jun 2014
  • Education: Mr. Paharia holds a B.Com degree from Narsee Monjee College and an M.M.S. degree from Welingkar Institute of Management, Mumbai.
  • Experience: Prior to joining Religare Invesco Asset Management Company (Jan 2007-Present) he was associated with DBS Cholamandalam AMC (Jan 2006-Jan 2007), K R Choksey Shares and Securities Pvt Ltd (Jan 2004-Jan 2006), First Global Stock broking Pvt. Ltd (Jun 2002-Jan 2004).
  • Funds Managed:
  • Invesco India Mid N Small Cap Fund - since May 2008
  • Invesco India Mid Cap Fund - since Dec 2008
  • Invesco India Tax Plan - since Jun 2010
  • Invesco India Business Leaders Fund - since Jun 2014
As on Aug 19, 2016

Formerly called Religare Invesco Business Leaders Fund, this fund selects businesses that are in leadership positions in a sector, rather than on the basis of pure market-cap range. A relatively recent entrant to the category, it has seen its three-star rating upgraded to four stars in the last two years. The fund has been quite large-cap-tilted, with a 90 per cent plus allocation to large caps. Mid-cap allocations range from 5-10 per cent. The fund is managed in a growth-at-a-reasonable-price style. The portfolio is compact, with 40-50 stocks. The fund house's focus is on quality companies with strong cash flows and high returns on capital.

While the fund has seen a slight slowdown in performance in the last one year, three- and five-year returns show it to be 4-6 percentage points ahead of the benchmark, with an outperformance of 1-2 percentage points vis-a-vis the category. The fund has outpaced its benchmark and category every year except 2012. The returns, however, have seen substantial acceleration after 2012. As it is yet to see a severe bear market, its performance in a market crash is yet to be tested, though the fund survived the decline of 2011 rather well. With the direct plan delivering a 19.5 per cent CAGR in three years against the regular plan's 17.8 per cent, the former has managed higher outperformance with respect to the category.

It's a fund that sticks to quality large caps and subjects you to minimal shocks.

comments powered by Disqus