Risk-Return profile for Investment Goals
When it comes to making investment decisions, we believe that asset class is immaterial. Instead, we advocate a goals-based approach to investing:
All investments should be evaluated solely on their risk return streams, and linked back to investor goals.
Enhancing returns without increasing risk requires taking a proprietary-approach to investing.
Based on our risk-return based thinking, our investment strategies fall under three key investor goals they help achieve:
Investment Products by Risk-Return profiles
Steady Cash Flow: Regular income stream with capital preservation
Strategy seeks to capture arbitrage opportunities between purely dematerialised commodities in the spot and derivatives markets. Targets steady annual returns of ~8-8.5% at risk-levels comparable to
liquid funds, with an investment
horizon of 3-months, and liquidity
of 48-72 hours.
Absolute Returns: High, predictable return stream with limited drawdown
Equity Absolute Returns (EQAR)
A combination of multiple active non-directional equity investment and trading strategies that aim to generate absolute returns across different market conditions. The strategy targets ~18% annualized returns, with an investment horizon of
A PMS that aims to exploit temporary mispricing in equities brought about by corporate events like open offers and buybacks. The strategy targets ~15% annualized returns on base capital and 20%+ returns on enhanced capital. Investment horizon of ~1 year on base capital and opportunity led on enhanced capital.
Compounders: Long term wealth creation with intermediate significant drawdown
A discretionary, long term, value equity strategy that focuses on investing in quality companies, across market capitalizations, that are available at a significant discount to intrinsic value. The strategy targets ~24% annualized returns, with an investment horizon of ~3 years.
A multi-factor based systematic equity strategy with a quality - value blend, and a hedge overlay to protect against downside risks. The strategy targets ~5%-7% per annum of alpha over the benchmark index, with an investment horizon of ~3 years.
A strategy that invests in structured and distressed credit opportunities with high asset cover and strong underlying cashflows and uses innovative product structures to hedge enforcement risks. The strategy targets ~18-24% annualized returns, with an investment horizon of ~3 years.