Letter to Investors of PMS
Abhishek Basumallick is the Board Advisor – Equities, Shree Rama Managers PMS
I recently penned a note for the investors in our Shree Rama Managers Active Equity PMS Funds - Shree Lakhsmi and Shree Vriddhi. Below is an excerpt from it.
I usually do not believe in writing a lot of frequent investor letters, especially for the PMS. My logic is that you have handed us your hard-earned money so that you are free to pursue your own vocation and continuously being told something or the other about investments may not be the best use of your time.
So, why am I writing to you again in the space of a month? Very simple. Performance.
In June, as per PMS Bazaar, Vriddhi fund was the third best performing fund in India. Again, for July, it is in seventh place.
The other interesting point is we are the ONLY fund which has done it consistently. Every other fund is different.
I want to be very clear that this kind of performance is not going to be repeated easily. Mostly, such extraordinary performance comes on the back of a few stocks doing really well for a time which is aided by a strong market tailwind. We have been lucky with such selections with Titagarh Wagons tripling, Apar Industries more than doubling in a short period of time and supporting role played by stocks such as Polycab, Equitas Bank etc.
The performance since inception for both Vriddhi and Lakshmi has been satisfactory and has been able to beat the index by a long margin. Though I am not very concerned about the index we really have nothing to do with it as we rarely pick stocks based on index composition.
This consistency of performance also boosts our confidence in our process. Our endeavour to provide above-average returns with strong risk management tends to work well. Technofunda boosted by our proprietary quant systems has been consistently performing well while managing the downside.
For details on the PMS or to invest, contact us at equity@shreerama.co.in