Ampersand Capital PMS Product Story
In the bustling heart of Mumbai’s financial district, a group of seasoned equity researchers gathered with a vision. They had spent decades analyzing companies, markets, and trends, working at some of the world’s most respected financial institutions. But now, they wanted to do something different: create a fund that would help investors tap into the best growth stories India had to offer. So, in 2015, Ampersand Capital was born — a boutique investment house with a mission to find and nurture the next generation of Indian corporate champions. Their flagship creation was the Ampersand Growth Opportunities Fund Scheme (AGOFS-1), a Category III Alternative Investment Fund (AIF) registered with SEBI.
What Makes AGOFS-1 Unique
Unlike traditional mutual funds, AGOFS-1 was designed as an exclusive club for sophisticated investors. The minimum ticket to join the club was ₹1 crore, and the fund would focus on a concentrated portfolio-just 30 to 35 stocks, each carefully chosen for its growth potential. But this wasn’t a scattergun approach. The team, led by Arun Subrahmanyam- a veteran with over 25 years in equity research-believed in deep, fundamental research. They would brainstorm, debate, and then roll up their sleeves, meeting company managements, analyzing financials, and building their own models. Only the highest-conviction ideas made it into the portfolio.
Investment Philosophy
Their philosophy was simple: find scalable businesses riding big themes- premiumization, energy transition, and new-age technologies. Whether it was a company helping Indians upgrade to better products, a firm leading the green energy revolution, or a tech innovator, Ampersand wanted to be there early.
Challenges and Performance
The fund’s journey wasn’t always smooth. There were months when markets fell and AGOFS-1’s returns dipped into the red. But over the years, the fund’s discipline paid off. While the broader BSE 500 index delivered steady returns, AGOFS-1 consistently outperformed, boasting a 5-year CAGR of 35% and total returns of 400% since inception. Investors noticed. Not only did the fund offer strong performance, but it also came with a unique tax advantage: all taxes were handled at the trust level, so investors received their returns tax-free-a rare treat in the world of Indian investments.
The People Behind the Fund
Arun Subrahmanyam, with his encyclopedic knowledge of Indian companies, was the guiding force. Alongside him was Sanjaya Satapathy, a sharp analyst with a knack for spotting mid-cap gems. Together, they steered the fund through bull and bear markets, always sticking to their research-driven approach.
The Road Ahead
Today, Ampersand Growth Opportunities Fund stands as a testament to what disciplined research, conviction, and experience can achieve. For investors who seek more than just average market returns-and who can meet the high entry bar-it offers a seat at the table of India’s growth story. And as India’s economy continues to evolve, the team at Ampersand remains on the lookout for the next big opportunity, ever ready to turn research into results and ambition into wealth. In the world of investing, deep research, focus, and conviction can turn a well-chosen portfolio into a wealth-creating machine-especially when guided by experience and integrity. Ampersand AIF’s journey is proof that with the right team and strategy, extraordinary results are possible.
Ampersand Capital Investment Objective
Ampersand Growth Opportunities Fund Scheme (AGOFS-I) – a Category III AIF – aims to deliver strong capital appreciation. It focuses on growth-oriented companies with scalable business models.
Firstly, the fund operates with an open-ended structure and prioritizes tax-efficient returns for investors, while maintaining a balanced focus on both established large caps for stability and smaller, dynamic companies for higher growth potential.
Ampersand Capital Investment Philosophy
Ampersand Growth Opportunities Fund Scheme (AGOFS-1) – CAT III AIF embodies a philosophy that champions investing in ‘right stocks at the right time and the right size.’ It concentrates on quality management, attractive markets, and strategic business models, aiming to capitalize on cyclical market trends and valuation opportunities. The philosophy also incorporates a prudent consideration of risk, striving to strike an optimal balance between growth prospects and volatility.
Ampersand Growth Opportunities Fund Scheme (AGOFS-1) – CAT III AIF investment philosophy is grounded in the belief that superior returns are the product of disciplined investment decisions, recognizing the intrinsic value in growth-oriented companies. The philosophy hinges on identifying businesses with excellent management teams, strong market positioning, and strategies that ensure a sustained competitive edge. As a result, the fund seeks to unearth and invest in companies that are not just industry leaders but also demonstrate potential for significant market share and profitability growth.
Ampersand Capital Investment Strategy
Ampersand Growth Opportunities Fund Scheme (AGOFS-1) – CAT III AIF investment strategy is multifaceted, leveraging meticulous stock selection, timing market cycles, and sizing investments to optimize returns and risk. To achieve this, the fund uses a scientific approach to identify entry and exit points, ensuring investments are made during a sector’s or a company’s sweet spot. Moreover, portfolio construction adheres to disciplined practices that aim to maximize gains while diversifying to mitigate risk.
The investment strategy of Ampersand Growth Opportunities Fund Scheme (AGOFS-1) – CAT III AIF revolves around a data-driven, analytical approach that involves a granular examination of market cycles, business valuations, and sectoral trends. The fund employs a rigorous stock-picking methodology, supported by comprehensive research and a deep understanding of the macroeconomic environment. It optimizes the portfolio through a blend of large, mid, and small-cap stocks, carefully calibrating the investment size to balance return expectations with market liquidity and risk considerations. This multi-cap strategy aims to extract value across market segments, achieving a well-rounded exposure to the growth levers within the Indian economy.
Some other investment screeners include:
- Consumption-related names, led by a shift from the unorganized to the organized sector
- Financials led by technology disruption and reduction in credit costs
- Capex cycle led by value migration to IT spend from physical Infrastructure
- Pharmaceuticals, Specialty & Agro Chemicals; driven by product capability and diminishing regulatory headwinds
BOOK A CALL WITH OUR EXPERTS
