|Category:||Equity: Mid Cap|
|Assets:||R 4,235 crore (As on May 31, 2017)|
|Expense:||2.03% (As on May 31, 2017)|
The Scheme seeks to generate long term capital appreciation from a diversified portfolio of predominantly equity and equity related securities, in the Indian markets with higher focus on undervalued securities. It could also additionally invest in Foreign Securities in international markets.
+ Karan Desai since Feb 2017
+ Venugopal Manghat since Nov 2012
This fund was started off in a difficult year but has managed a very consistent show since then. It now is a five-star fund.
The fund hunts for undervalued stocks in the market and is market-cap agnostic. Its investment approach is to select stocks for their fundamentals rather than market fancy and buy them below their intrinsic value with an adequate margin of safety.
Value opportunities are often identified in sectors and companies in special situations such as cyclically low earnings, turnaround and revival plays and so on.
Currently, 35-40 per cent of the portfolio has been parked in large caps, 25-40 per cent in mid caps and the rest in small caps. The fund is underweight on mid caps and has a slightly higher large-cap as well as small-cap allocation relative to the mid-cap category.
Except for its debut year, in which it slightly lagged behind its benchmark, the fund has been ahead of its benchmark and peers in every year since launch. The years 2014 and 2015 proved to be bumper years on benchmark and category outperformance. The fund has also held its own in the last one year when the market fancy turned to value stocks.
Three- and five-year CAGR of the fund stand at 32.3 per cent and 25.1 per cent, respectively. These are 12-18 per cent higher than the benchmark and 3-5 per cent ahead of the category. However, the fund being a recent entrant to the category is yet to encounter a severe bear market in which its performance can be tested.comments powered by Disqus