The year 2020 has been nothing short of volatile but fund managers who have stayed on track with their investment methodology and disciple have managed to outperform in the current market environment.
Vikaas M Sachdeva, CEO, Emkay Investment Managers Limited who managed about Rs 600 cr AUM lists out what investors should look for in a company when making a buying decision in SAMVAT 2077, and also take a relook at the stocks which are not performing in the portfolio, he said in D-Street Talk podcast with Moneycntrol.
Diwali, the festival of lights, is an auspicious occasion to start something new. It could be a fund, SIP, or even a habit. Well, one habit which most investors can start from this Diwali is to take a relook at stocks in the portfolio.
“I suggest investors take a look at the stocks, funds and see what has not done well. If the stock or the fund has not done well in the past few quarters then the probability of it doing well is lower. Hence, the ideal strategy is to clean it up,” says Sachdeva.
The second thing is when we welcome Goddess Lakshmi into our homes on the auspicious occasion of Diwali, you pay homage to the goddess. The process has to be followed even for your portfolio, and it is simple – just stay with quality.
“This is the highest possible thing which one could do for their own portfolio,” he added.
To assess the quality, we have the ‘E-Qual’ model which measures quantitatively attributes like management quality, management attitude, wealth creation, etc., explains Sachdeva.
This is the country’s first calibrated model to measure corporate governance. Not only have we managed to pick winners in our portfolio, but equally importantly, there have been no blowouts either.
(Tune in to the podcast for more)
Vikaas M Sachdeva
Chief Executive Officer, Emkay Investment Managers Ltd.
Vikaas is an industry veteran with over two decades of experience. In the course of his career, he has held several influential and senior management positions across marquee financial service organizations. He has a broad range of interests across functions like sales, distribution, marketing, Investment banking, product, and customer service.
Vikaas was the CEO of Edelweiss Asset Management Ltd, successfully turning around the business culminating in the acquisition of JP Morgan MF and was also the Global CEO of Enam Asset Management Ltd, where he oversaw both global and domestic side of the business. He has also worked with Birla Sun Life International AMC Ltd., and ING Investment Management (India) Ltd. His industry affiliations include a seat at the Mutual Fund Advisory Committee (MFAC), a special committee of industry professionals selected by SEBI to advise them on governing the MF industry and he was also on the board of the Association of Mutual Funds of India (AMFI), heading the ETF and indexing committee, which submitted the first white paper on ETFs to SEBI.