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Let the sword work for you
The Sword investment strategy is a long term equity growth strategy that is invested in equity almost fully to the extent of 95% to 100%. The investment methodology used here is a combination of sector and stock selection, and targeted at achieving superior long term returns. By definition, the Sword strategy is an aggressive one, taking no recourse to other potentially less risky asset classes, and it therefore promises undiluted returns from the opportunities of the equity market alone.
This strategy seeks to capitalize on India's long term growth story. If you believe in the strong fundamentals of Indian equity and its underlying return potential, then this is the strategy that matches your investing style. The benchmark for this portfolio is the BSE 100 index, and the methodology seeks to outperform this index in the medium to long term.
The Sword investment strategy is aggressive, and holds concentrated equity bets, aided of course by active risk management. A Sword portfolio can have as few as 15 investments at any point of time. We choose, within this strategy, to be part of the themes that will eventually shape the India success story, and aim to select investments that conclusively vindicate our choices. We do this by constructing a portfolio of Indian equities that are our best ideas wrapped in portfolio and risk management considerations. Investment selection is done through an optimal combination of top down and bottom up processes.
We urge investors who select this investment strategy to take a long term view that is best suited to reap the benefits of this strategy. It requires overlooking short term volatility in return for the potentially superior long term returns that will accrue from India's outstanding growth in the years ahead.
Use the sheild to balance out your risks
The Shield investment strategy is one that primarily seeks to give you the returns associated with the equity market, but additionally attempts to protect you from short term bumps in the financial markets. Investments are spread between equities and liquid funds, and asset allocation, or the choice to switch between them plays a key role in cushioning volatility of this portfolio.
The Shield investment strategy remains true to our underlying philosophy of investing - the use of quantitative and qualitative portfolio selection techniques, the spotting of macro themes and an optimal combination of top down and bottom up approaches that define the portfolio. The use of asset allocation and more conservative risk management techniques is designed to shape the portfolio into one suitable for equity investors wanting to vary their risk opportunistically.
It aims at helping these investors take advantage of the long term opportunities from the India growth story, but in a more cautious manner.
The benchmark for this strategy is an index constituted by blending 80% BSE 100 Index with 20% liquid fund returns. The strategy seeks to outperform the benchmark asset allocation, sector allocation and stock selection.
The aim of the Shield strategy is to hold long term equities, but to add an element of timing coupled with tighter risk limits spread over a larger number of securities to even out short term rockiness.
If you want to participate in the equities markets, but would like to cushion your portfolio to some extent from considerable short term bumpiness, then this is the strategy most suited to your investment style.
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