Carnelian Capital Compounder Strategy

Alpha (1Y)	Beta (1Y)	Standard Deviation (1Y)	% of +ve Months (SI)
7.64%	0.96	15.06%	62.75%

Key Portfolio Attributes

Mr. Vikas Khemani

Inception Date: 15 May 2019

Number of Stocks : 20 -25

Founder: Mr. Vikas Khemani

Portfolio Manager’s Name: Mr. Manoj Bahety and Mr. Sachin Jain

Portfolio Manager’s Qualification: Manoj Bahety - CA, CFA(USA) and Sachin Jain – CA

Portfolio Manager’s Experience: Manoj Bahety - ~20 years and Sachin Jain - ~18years

Investment Objective

The investment objective of the Carnelian Capital Compounder Fund-1 is to generate long-term sustainable alpha across market cycles through

• Focus on fundamental driven growth investing

• Bottom up stock picking using our unique “PIU Framework”

• Long term, multi-cap, sector agnostic investing

Investment Universe – Indian listed equities. We constantly scan our universe to find ideas

which meets our MCO framework (explained later), Internal rating scorecard – PIU & Risk framework.

Investment Philosophy

• We believe investing success is an outcome of making good decisions consistently over a long period of time.

– good decisions are those which are made “objectively, free of any bias”, considering “probability of outcome” and factoring “risk reward”.

• We believe in investing in good growth businesses, managed by great managements at fair valuation

• We believe margin of safety does not necessarily lie only in price, but can be sought in detailed work

• We believe one can never make money on borrowed conviction.

• We are happy to be contrarian when risk reward is compelling: mimicking herd = regression to mean

• We believe in being patient and long term. Investing is like watching grass grow.

• We prefer definite returns over immediate returns

• We don’t mind sitting on cash if we can’t find a better use

Investment Strategy

• Long only, multi-cap and sector agnostic strategy

• Aim to generate sustainable alpha & compound capital through our unique MCO framework

– unique & unconventional blend of companies – Magic (accelerated growth), Compounder (stable growth) & Opportunistic

• Focused on fundamental driven growth investing; bottom up stock picking

• Unique forensic framework “CLEAR” help avoid accidents

• Portfolio of carefully selected 20-25 stock

Performance Table #

Trailing Returns (%)	1m return	3m return	6m return	1y return	2y return	3y return	5y return	10y return	Since inception return
Carnelian Capital Compounder Strategy	2.07%	13.15%	24.98%	21.38%	8.73%	22.96%	-	-	17.54%
BSE 500 TRI	-0.61%	7.73%	17.34%	11.34%	9.15%	23.31%	-	-	16.84%

QRC Report Card *

Strategy	Category	Fund Manager	Date of Inception	Age Of PMS	Corpus (in Cr, approx)	Benchmark	Returns SI (CAGR)	Stocks In Portfolio	Sectors In Portfolio
Carnelian Capital Compounder Strategy	Multi Cap	Mr. Manoj Bahety and Mr. Sachin Jain	15 May 2019	4Y 4M	-	BSE 500 TRI	17.54%	24	11

		Portfolio Quality (Q)			Portfolio Risk (R)			Portfolio Consistency (C)
Index	Category Alpha (1Y)	Relative Alpha (1Y)	% of +ve Months (Fund Data)	Alpha (1Y)	Beta (1Y)	Standard Deviation (1Y) (Fund Data)	Sharpe Ratio (1Y) (Fund Data)	Alpha (SI)	Information Ratio (SI)	Consistency Ratio %
Nifty 50	3.17%	5.59%	62.75%	8.76%	0.96	15.06%	1.77	3.79%	0.42	60.78 %
Nifty 500	1.79%	5.85%		7.64%	0.96			2.70%	0.35	56.86 %
Nifty Midcap 100	-8.95%	4.15%		-4.80%	0.86			-2.37%	-0.25	54.90 %
Nifty Smallcap 100	-4.20%	6.24%		2.04%	0.82			3.09%	0.23	58.82 %

VIEW DETAILED QUALITY, RISK, CONSISTENCY ANALYSIS

Portfolio Holdings

Holding	%
ICICI BANK LTD	9.77
ADITYA BIRLA CAPITAL LTD	6.13
LARSEN & TOUBRO LTD	6.10
EICHER MOTORS LTD	5.73
LIC HOUSING FINANCE LTD	5.60
MAX FINANCIAL SERVICES LTD	5.11
HCL TECHNOLOGIES LTD	4.59
LAURUS LABS LTD	4.36
BHARTI AIRTEL LTD	4.35
ICICI SECURITIES LTD	3.80
Top 10 Equity Holdings	55.54

Sector Allocation

Holding	%
BFSI - Credit	33.10
Auto	13.20
Engineering & Capital Goods	10.90
Pharma & API	10.60
IT	9.40
BFSI - Non Credit	6.20
Telecommunications	4.70
Auto Ancillary	4.20
Consumer Durables	2.60
Logistics	1.80
Cash and Liquid	3.30

Market Cap Allocation

Allocations	%
Large Cap	40.30
Mid Cap	22.40
Small Cap	34.60
Cash	2.80

Do Not Simply Invest, Make Informed Decisions

WISH TO MAKE INFORMED INVESTMENTS FOR LONG TERM WEALTH CREATION

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From the Founders & Managers of Carnelian Capital PMS

What to expect from Carnelian Capital Compounder Strategy PMS?

The Indian economy is poised to grow from USD 2.8tn to USD 5tn over next 5 years. India’s focus on becoming self-reliant in critical sectors, supply chain diversification by global players (China+1), India’s improved cost competitiveness and huge domestic demand are key catalysts for this big opportunity that lies ahead of us thereby propelling growth across sectors. Besides India is the only unique market offering a strong large domestic market along with huge export opportunity too.

Carnelian Capital Compounder Strategy is a long only, multi-cap, sector agnostic portfolio designed to capture the growth in the Indian economy and deliver superior returns across market cycles through our proprietary MCO framework, which offers a Unique & unconventional blend of companies Magic (accelerated growth), Compounder (stable growth) & Opportunistic. The portfolio represents a fair blend of defensive yet participative sectors like IT, Pharma, BFSI (blend of credit and non-credit) and Consumer durables.

Who should invest in Carnelian Capital Compounder Strategy PMS?

This strategy is suitable for all equity investors who believe in the India growth story over the next 3-5 years on the back of reasons highlighted above. This strategy, we believe will generate superior returns across market cycles with moderate risk – about 50% of the portfolio comprises of large caps, 30% mid-caps and 20% small caps.

Which is the best company through which an investor can invest in Carnelian Capital Compounder Strategy?

We recommend PMS AIF WORLD, because, it is one unique platform that offers real knowledge driven investing with their highly meaningful data, reports, and content that is written very well. PMS AIF World is a team of highly articulate, educated, and experienced people.

Disclaimer

#Returns as of 31 August 2023. Returns up to 1 Year are absolute, above 1 Year are CAGR.

*QRC Report Card data is updated quarterly. Current data is as of Jun 23.

Related Investment(s)

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