fund manager brief

16 SEPTEMBER 2024 A Quick Catch-Up Volume: 006

ANAND SHAH
HEAD - PMS & AIF INVESTMENTS
ICICI PRUDENTIAL ALTERNATE
INVESTMENTS

PMS & AIF AUM (Rs): 32,487 crore (Aug 2024)

Number of equity PMS investment strategies: 7
Contra Strategy, PIPE Strategy, Growth Leaders Strategy, Large
cap Strategy, ACE Strategy, Value Strategy, Quanti- FI Strategy

Number of equity AIFs: 4

Growth Leaders Fund, Emerging Leaders Fund, Equity
Opportunities Fund, Alpha Opportunities Fund

about anand shah your book(s)

recommendation
One advice to young investors beginning their
investment journey
The first step to make money, is don’t lose The Intelligent
money. You are not buying stocks, but Investor
actually buying a company/business. Don’t
- Benjamin Graham
buy a company if you don’t understand it,
don’t buy if you can’t be in it for the long
term and don’t buy the company if you don’t
trust the management.
One Up on Wall Street
What, in your opinion, are the two constants in - Peter Lynch
the market?
Wealth creation and volatility are two
constants ever present in the market. While
the former is an outcome, the latter is the
inherent nature of the beast. Periods of The Warren Buffett Way
growth and wealth generation are often - Robert G. Hagstrom
punctuated by periods of market instability.

One person you follow or admire the most

Warren Buffett The Dhandho Investor:

The low-risk value method
Chairman & CEO to high returns
Berkshire Hathaway - Mohnish Pabrai

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 fund manager brief
16 SEPTEMBER 2024 A Quick Catch-Up Volume: 006

about the broad market

With more than 2 decades of experience in the
financial market, what has been the ONE
important learning for you?

Companies create wealth and not markets which Companies Create

ets
means good businesses tend to do well over the
long term, irrespective of near-term market
Wealth and Not Mark
movements. And vice-a-versa bad businesses
will destroy wealth.

3 factors why you are betting for the Indian

economy

Our young Demography exhibits growth,

Demography
Democracy showcases stability, and market Democracy
Diversity i.e. stock picking opportunity posed by
our equity markets. The above factors along Diversity
with robust investment philosophy and prudent
stock-picking processes, allow us to identify
companies that can create wealth in the long
term.

Given the current volatility and high valuations in

Bott
Av a o m - u p O
the small and mid-cap space, should investors
maintain their exposure?
Poc ilable in ppor tun
kets Cer i
For an investment horizon of 7 to 10 years or
longer, the entry point of investment in the
tain ties
segment should not be a concern for investors.
Yes, the mid and small cap segment is richly
valued, but we believe there are bottom-up
opportunities available in certain pockets.

Institutions like FIIs and DIIs have historically

influenced market movements in India. Are we
seeing a similar trend today, or has the dynamic

D I Is are Nowna
shifted in recent times?

Force to Recko
It would be wise to say FIIs and DIIs will
continue to remain the force behind the
market. Albeit there has been a role reversal,
DIIs are now a force to reckon with, which
gives more stability to Indian markets.

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 16 SEPTEMBER 2024
fund manager brief A Quick Catch-Up Volume: 006

about the strategies

3 key processes put in place for stock selection How does the Contra and PIPE strategy enable
We believe the performance of our you to capitalise on undervalued companies, and
Strategies is an outcome of the processes we what key factors do you consider when
follow. The performance is dependent on a identifying such opportunities in the current
well-defined investment framework which market?
allows the Portfolio Manager to stay the The performance is not dependent on market
course across market cycles. notion, but on a well-defined investment
We have an in-house BMV framework framework that allows the Portfolio Manager
( B u s i n e s s - M a n a g e m e n t -Va l u a t i o n ) . to stay the course across market cycles. What
Through this framework, the Portfolio matters to us is the delta in Earnings Per
Manager: Share (EPS) and Price to Earnings (P/E)
re-rating exhibited by the companies we
• Aims to identify prominent businesses invest in.
• With competent management
• At reasonable valuations.
The input to the BMV framework comes
from an in-house research team that covers
more than 600+ companies across market
EPS & P/E
capitalisation.
With ICICI Prudential's Alternative’s AUM
Top 3 sectoral bets for FY25 and beyond crossing ₹30,000 crore, what key factors have
Given our faith in the resilience of the contributed to this growth?
domestic economy, we are positive on
We attribute this growth to our investors and
domestic cyclical sectors and corporate banks,
partners who have showcased their faith in
select manufacturing, manufacturing allied
the institution, investment process and
sectors, as well as select consumer companies
philosophy.
in the services space that are gaining market
share. Also, our entrenched distribution, which is
backed by our experienced team members,
has contributed to this growth.
₹ ₹

Domestic Corporate Manufacturing Consumer

Cyclical Banks Companies
Sector

Disclaimer: The information about funds, investment strategies, stocks, and sectors is for informational
purposes only and doesn't constitute investment advice. PMS Bazaar and the AMC do not endorse or
recommend any specific investment. Past performance is not indicative of future results. The returns
mentioned are not verified by SEBI. Please consult with a qualified financial advisor before making any
investment decisions.
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