An exclusive webinar was held among our host Mr Vikas Agrawal, Mr Hiren Ved and Mr Deven Ved. Mr Vikas Agrawal is the Founder & CEO of AIF & PMS Experts India Pvt. Ltd. On the other hand, Hiren Ved is the Co-founder, CEO and CIO of Alchemy Capital Management, and Mr Deven Ved is an AVP Quant Research Analyst in that firm.
Webinar Overview
Our host and guests discussed a lot of financial and market-related topics. Briefly discussed and compared today’s old day’s data availability. As, nowadays, lots of strutted data is available for work proceedings. Our guests elaborated about their ‘Rule-based investing’. They discussed Back Tested Performance. It looks at the market situation and doesn’t shy away from creating cash. It is well performed in COVID-19 situations.
About AIF & PMS Experts India
We are an Alternative Investments firm that specializes in multi-asset investments. Some of our primary servings include Portfolio Management Services, Listed and Unlisted Public Equity; some of the services accessible include venture capital, private debt structured products, and real estate alternative investments.
By establishing confidence in governance, ensuring transparency, and fostering long-term asset growth, AIF & PMS Experts wants to assist our clients in building long-term wealth. Our diverse products, analytics, and tools are crucial to our performance and help us meet our goals.
Fund Manager Profile
Deven has more than 15 years of diverse business expertise, including program management, shareholder reporting, advising, and closing strategic business partnerships. He worked at HDFC Ergo General Insurance before joining Alchemy, where he built an automated underwriting rule engine for quick policy issuance.
Deven has worked on financial programming for life insurance products, annual operating plans for organizations, distribution models for significant business partnerships, and profitability reports based on insurance data analysis. He worked at Bharti AXA Life, Reliance Health, Tata AIA Life, and Deloitte Consulting.
He is thought to be very analytical, energetic, and a team player. He possesses a Bachelor of Science in Statistics and a Diploma in Actuarial Sciences.
Investment Philosophy
- Alchemy is a pioneer in Bottom-Up stock selection, allowing enterprises to achieve their maximum potential regardless of industry conditions.
- A thorough awareness of current market trends and developments
- Primary research is regarded as inviolable in the context of a full review.
- Consistent and long-term track record; under the Alchemy High Growth product, As of December 31, 2021, an initial investment of Rs.1 crore had increased to Rs.45.2 crores.
Alchemy Ascent
In today’s financial world, identifying the “right stock,” “right theme,” “right sector,” and “right cycle” is thought to be the key to any successful investment plan. Even the most seasoned investors are subject to biases that are part of the investment process. As a result, alpha generation is inconsistent.
Alchemy ASCENT aims to create a constant “high alpha” investment strategy that builds portfolios to deliver consistent long-term outperformance utilising an objective, back-tested, and data-driven approach that is free of biases.
Investment Process
They divided their investment process broadly into three categories.
- Stock Selection: Investible stocks must undergo a rigorous method of removing value-depleting characteristics, and they are occasionally vetoed based on risk and fundamental forensic investigation.
More than 50 quantified fundamental criteria and their combinations are used to screen the investible universe.
- Capital Allocation: On average, a portfolio has 25 to 30 equities.
The weight per stock may range from 3% to 6% @cost, with exceptional equities receiving a 10% @cost allocation.
The ranking algorithm optimizes the stock to be held in the portfolio and allocates it.
Risk Management: It is built upon Prohibitive Risk, Participative Risk / Exit Strategy and Operational risk minimized using automation of processes.
Objective Method Investing
There are several major methods included.
- Unprejudiced approach to each stock.
- Having an objective strategy for investment reduces greed, fear, and hope.
- To create CAGR, focus on discipline and data.
- Over 21 years of back-testing across multiple market cycles
- Ability to daily examine over 2000 stocks for a winner.
- Attempt to outperform the applicable Index during a three- to five-year period.
- With a churn ratio of 0.67.
- The average cash level is less than 10%.
- Active portfolio management that is focused and unbiased.
Key Points
- As per the discussion, all great companies have certain characteristics. They look in great companies for great attributes.
- They tried to define good management.
- A potential investment candidate needs to have a very good objective.
- Growth, Valuation, Quality & Risk management, the Market cycle has their specific importance.
Parting Note
Investors should invest with patients and according to the market situations. The market cycle may change, so; investors should prepare for any scenario. It was a great chance to have those renowned people in the webinar. People can learn more deeply about the market through this webinar.