Objective: - The portfolio would aim to invest in growth oriented companies with sustainable business models backed by strong management capabilities with emphasis on smaller capitalized companies with a market capitalization not exceeding Rs. 2500 crore at the time of investment.
Traits Of Successful Companies In Origin Domain
Differentiated business models/new business segments
Scalable business areas/large opportunity to grow
Equipped with adequate financial resources
Entrepreneur backed/strong professionally managed
Possess strong execution skills
Can demonstrate consistency in profitability/profitable growth
Presence in Niche business segments
Dissecting The Target Company
Adequate management strengths to ensure growth
Companies with competitive advantage in the domestic market exploring geographical reach
Companies building strong multiple revenue stream
Companies with critical mass targeting manifold growth in size of operation
Entrepreneur led companies
Beneficiaries of positive policy initiatives - banking, telecom, insurance, media and infrastructure
New media/digital companies - internet media, online media and mobile technologies
Investment Strategy
Buy & Hold a basket of 15-25 companies with a medium to long term horizon
De-risked strategy through diversification
Target companies in quest of growth in any market environment
Endeavour shall be to focus on emerging businesses at a nascent stage or a matured businesses at attractive valuations
Stocks could have trigger events creating potential for valuation unlocking over longer term
As an investment strategy, the portfolio composition shall constitute companies ranging from Rs 100 cr to 2500 cr in market capitalization. The composition shall be optimized in market capitalization mix as well as sectoral exposure
Past Wealth Creators From The 'Origin' Domain
Data as on 07/05/2007; Source: Bloomberg, Capitaline
Target Investor
The portfolio will be constructed with long term view for an investor who is unperturbed by short term returns, volatility and market momentum.
Any investor with a penchant for high risk taking qualifies for the portfolio.
