Abakkus Asset Manager LLP is an Indian asset manager that focuses on alpha. It was founded in 2018 by Mr. Sunil Singhania and is named after the simplest ancient computing equipment, the abacus. Abakkus’ objective and vision is to become one of India’s most respected and successful asset managers.
The Abakkus portfolio beliefs have been moulded by this philosophy:-
- Profitability is predicted to expand faster than the market average for growth companies.
- Stocks with acceptable growth prospects that are fundamentally undervalued for value companies.
- Buy and hold: Invest in stocks as if you were investing in a company. Invest as if you’re a partner.
- Small businesses with a scalable business plan that have the potential to grow into large cap enterprises over time
- Research from the bottom up with a focus on the balance sheet.
- Earnings, Earnings, Earnings, Earnings, Earnings, Earnings, Earnings, Earnings
Investment Strategy
- Benchmark agnostic diversified all cap portfolios.
- Fundamental based ideas picked via a bottom up approach.
- Large cap allocation based on top-down sector view with focus on stability.
- Alpha from exposure to broader market companies with sustainable business and high ROEs.
- Endeavour to generate alpha and wealth creation by buying with typically 3-5 years holding period.
- Differentiated Portfolio adhering to our “MEETS” Framework.
- 15:15:15 discipline: Invest predominantly in companies qualifying in at least 2 out of these 3 criteria;
- >15% ROE
- >15% earnings growth
- < 15 P/E Ratio