'We cap our position at 5 per cent in any single stock'

Pranav Gokhale is the Fund Manager of Invesco India Small Cap Fund. In this interview we caught up with him to find out more about the strategy he uses to pick and discard stocks, and how he manages risk inherent in the small-cap space. Your fund has beaten the small-cap category and index by a wide margin over the last one year. What's responsible for this? Our proprietary stock-selection framework has helped us invest in good-quality companies as well as minimise certain pitfalls associated with small-cap investing. Our endeavour is to invest in companies with healthy financial track records with decent promoter pedigree. This has helped the overall portfolio. Havi