Viraj Mehta MD, Equirus
1. How do you take concentrated bets for the long term?
We invest in companies which are gaining market share and have protected moats around their businesses. This gives us the confidence to stay invested for long duration. While there may be risks in individual businesses, but if the process is right the outcome is great at the portfolio level.
2. Who are your Niche companies and how do you target them?
We look for profit pools which may be small but are increasing and our company is increasing its share of the profit pool. Also, we see those companies do not face obsolescence risk for an extended period.
3. Why should people invest in Equirus Long Horizon Fund?
ELHF focuses on taking concentrated bets for the long term, in high quality publicly listed Indian companies at reasonable valuations. We intend to be early in the business discovery, thus providing us maximum earnings growth along with multiple re-rating for the stock. This results into maximum wealth generation for our client. We are valuation conscious investors who think about businesses and not just stock prices.
4. What is the difference between discretionary and non-discretionary portfolio management?
In a discretionary PMS, the fund manager oversees each client’s securities, while in the non-discretionary portfolio management client instructs the portfolio manager.
5. What are the many types of securities that a Portfolio Manager may invest a client’s money in?
ELHF invests in small & mid cap equity structure. We are also launching a Multi CAP scheme which will invest in large & mid cap equity structure with similar characteristics of leadership and gain in market share without obsolescence risk in these companies for prolonged period.