Small and midcap heavy funds managed by Portfolio Management Services, have outperformed their peers in March who mainly invested in largecap stocks, a report by Economic Times (ET) noted.
As per the report, the biggest gainer of the year was the Growth Plus Value Strategy of Care Portfolio Managers which delivered a 13.5 percent return. It was launched over 10 years ago and gives a higher weightage to lower valuation multiple, especially from smallcap companies, noted ET.
Right Horizons’ Minerva India Underserved followed with monthly gains of 11 percent thanks to the rally in paper stocks, noted ET. This PMS holds stocks like JK Paper, Steel Strips Wheels, Fiem Industries, PVR and Dr Lal Pathlabs.
As per ET, Right Horizons’ strategy, along with Care’s Growth Plus Value have been ranked outperformers for the last one year. They have delivered 91 percent and 71 percent in the period, respectively.
PMS is an investment service where investors get the ability to tailor a portfolio as per their investment needs and financial targets. It offers investors control over the choice of portfolio they want. It is mostly an investment choice for big investors who have a large capital.
PMS offers greater flexibility to an investor for his money and better returns but at a higher risk too. Experienced portfolio managers manage the portfolio on behalf of a client and are backed by a quality research team.
Abans Investment Managers’ smart beta portfolio, Nine River Capital’s Aurum Small-Cap and Invesco’s Caterpillar portfolio were among other top gainers that rose around 9-11 percent in March 2022, informed ET.
In comparison, Nifty was up 4 percent, Nifty Midcap added 5 percent and Nifty Smallcap index jumped 6 percent in this time.
Among celebrity fund managers, Basant Maheshwari’s Equity Fund, which is a multicap strategy, outperformed Nifty, delivering 4.5 percent returns in March, said the ET report. Though, its returns in the last six months have been muted.
The report also mentioned that Shankar Sharma-founded First Global’ India Super 50 rose 3.6 percent in March, while its other fund India Multi-Asset reported a 2.85 percent return in March. Prashant Khemka’s India Pioneer Equity - a Flexi cap fund - delivered a 3.2 percent return. Samir Arora’s India Rising also failed to beat Nifty, delivering a 2 percent return in the last month, added the report.
"Fund run by Saurabh Mukherjea’s Marcellus failed to beat benchmarks as well. Even Little Champs, which is invested in stocks like GMM Pfaudler, Alkyl Amines, Garware Technical Fibres and V-Mart failed to beat the market amid buying in small and midcap stocks in March," added the report.
Consistent Compounders and Kings of Capitals delivered flat returns as well, it noted.