Girik Multicap India Fund

Fund Snapshot

Investment Philosophy

Our firm uses a systematic screening approach to find great businesses with strong long-term prospects. We start by looking at how well the industry is doing because that has a big impact on stock performance. We like leading stocks in thriving sectors, especially those showing price strength, like trading near their yearly or all-time highs. We see early price leadership as a great sign of new bull markets. We also check for accelerating earnings, meaning a solid track record, better annual and quarterly earnings, and good growth potential.

Next, we see if the company is a leader by checking things such as if its products or services are dominant, if it can grow, how good management is, how well it uses its cash, its return ratios, and its governance standards.

Then, we do detailed research into the company. This includes its business model, market opportunity, how well it executes, how it deals with stakeholders, and financial stats such as return ratios, cash flow, capital use, and if it is using the right amount of debt. We carefully look at governance quality, shareholder alignment, and transparency.

We value companies with a focus on growth, seeking long-term value creation, safety margin, and a sensible take on standard metrics.

Risk Management Framework

We regularly check our portfolios, doing a basic review of all stocks each week. To keep things balanced, we watch how much we've invested in each industry and stock, the size of the companies we own, and how easily we can buy or sell their shares. We also look at market trends and how stocks are being distributed.

We manage losses by quickly spotting and fixing investment mistakes. By keeping a close watch, we can see when a sector or stock is getting weak and avoid putting more money into losing positions.

When it comes to selling for a profit, we stick to a plan that values long-term consistency. We hold onto winning stocks as long as they keep making good money. We think about selling when their growth starts to slow down. Other reasons to sell include when the market seems too good to be true or when we see warning signs like too many people betting on the same thing, too much media hype, or company leaders making overly hopeful predictions.