The Motilal Oswal Founders Fund Series V aims to generate long-term capital appreciation by investing in listed Indian equity—focusing on founder-led businesses with high-quality management and scalable growth potential. The objective is to deliver superior risk-adjusted returns by identifying and holding onto quality businesses across market cycles.

This portfolio strategy follows a growth-oriented approach, investing in companies that demonstrate:

• Strong founder/promoter ownership (minimum 26%)
• Proven profitability with a minimum of ₹100 Cr PBT
• Capital efficiency with minimum 15% ROCE
• High standards of corporate governance, succession planning, and execution capabilities (QGLP framework)
• Earnings visibility with expected earnings growth of 3-5% over benchmark

Only the top 500 listed companies by market capitalization are considered, ensuring quality and scalability. Up to 20% of the portfolio may be allocated to companies that are exceptions to the standard framework based on high conviction.

The fund uses the proprietary QGLP Framework (Quality, Growth, Longevity, Price) to assess potential investments:

• Q (Quality) – Focus on sound governance, strong management teams, and sustainable moats
• G (Growth) – Businesses with consistent earnings growth and expansion potential
• L (Longevity) – Ability to compound earnings over long periods due to scalable business models
• P (Price) – Attractive entry valuations using PE, PEG, and DCF models

Minimum thresholds like ROE/ROCE are set to maintain quality.

Portfolio flexibility is retained with:

• 65% in-house theme representation
• 25% flexibility for outside opportunities
• 10% risk mitigation cushion