More than 265 portfolio schemes for high-net-worth investors (HNIs) gave negative returns in June as Indian markets lost over 4 percent due to the ongoing selling pressure by foreign investors and rising inflation, a report by Business Today stated.
According to the report, Basant Maheshwari Wealth Advisers Equity Fund, managed by Basant Maheshwari, declined the most by 13.63 percent last month. The scheme has lost 20.97 percent in the past 3 months and 16.31 percent in 1 year, data by PMS Bazaar showed. However, the strategy has delivered a 15.07 percent CAGR return since its inception in February 2016, it added.
In his letter to investors in June, Maheshwari advised investors that this is the time to pour money into the market if they have a long-term view, the report said. “We are getting these stocks because the immediate future ‘looks’ uncertain even though it might not be as uncertain as it looks. But this uncertainty will go away with time and prices will discount clarity and certainty. This is the best time to capture that transition by topping up your accounts,” he explained.
Portfolio management services, or PMS, is an investment management service offered by qualified portfolio managers. The minimum ticket size for PMS investment is ₹50 lakh in India.
Meanwhile, Turtle Wealth’s 212 Growth Mantra is the second worst performing PMS. The report notes that it declined 10.78 percent in June, however, it has gained a 25.21 percent CAGR since its inception. The data further highlighted that Emkay Investment Managers’ Pearls, Systematix’s Dynamic Investment Portfolio, Upside AI’s Upside AI Flixicap, Sageone’s Core Portfolio and Hem Securities’s India Rising SME Stars also declined between 9 percent and 10.05 percent last month.
The report also noted that only six schemes managed to deliver a positive return to investors in June. With a gain of 2.84 percent, Green Lantern Capital LLP’s Growth Fund was the top gainer in June followed by Equitree Capital Advisors’ Emerging Opportunities (up 1.6 percent). Meanwhile. Karvy Capital’s Excel and Demeter, Scient Capital’s Aries Mid Yield and Estee Advisors’ I-Alpha added between 0.16 percent and 0.85 percent, it added.
