Bay Capital Opportunities
Our view on the fund, the AMC, the strategy, the performance & the investment team.
IME's Review of Bay Capital Opportunities
| Fund Rating | Strategy Rating | Performance Rating |
|---|---|---|
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View on the Fund
While the fund itself lacks an independent track record, Bay Capital has established its credibility through managing an 11+ year-old offshore-focused fund with consistent performance. This fund marks their attempt to scale up their presence in India.
Strategy
Fund's Strategy View
Bay Capital Opportunities fund focuses on identifying undervalued securities with strong growth potential, typically investing in a concentrated portfolio of companies across various industries. The fund employs a bottom-up approach, conducting in-depth research and analysis to select high-quality stocks that have the potential to generate attractive long-term returns for investors.
Fund Performance
We refrain from evaluating the fund since it is yet to mature (less than 5 years).
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| Bay Capital Opportunities | -0.8 | 13.1 | 12.9 | |
| S&P BSE 500 | 6.5 | 15 | 12.9 | |
| Alpha over Broad Mkt BM | -7.3 | -1.9 | 0 |
Performance as of: 31-Jan-26 | Inception Date: 19-Jan-23 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Keyur Majmudar | 4-star rated FM
Managing Partner | 30 yrs Experience | 16 yrs at current firm
Past Experience: Kotak Securities (SVP), Kotak Mahindra UK (VP), Oxford International Finance (AVP)
Keyur Majmudar comes with 27 years of financial expertise in Investment Banking, Equity Advisory, and Fund Management, previously served as EVP at Kotak Securities. Notably, he conceptualized and developed Kotak's non-discretionary portfolio management business. During his tenure with Kotak Mahindra UK in London as SVP, he contributed to building the offshore asset management business. Keyur was also a part of the Equity Capital Markets Group at Lazard Credit Capital in Mumbai. He holds a bachelor's degree from Mumbai University and a Master's in Management from Boston University.
Nikunj Doshi | 4-star rated FM
Managing Partner | 35 yrs Experience | 19 yrs at current firm
Past Experience: Kotak Mahindra AMC (SVP)
With over 30 years of experience in Fund Management and Equity Research, Nikunj brings a profound understanding of the Indian economy and businesses. Formerly associated with Kotak Mahindra AMC, he managed funds with a combined AUM exceeding USD 500Mn. Before Kotak, Nikunj served as the Head of Research at Refco-Sify Securities & Ventura Securities. He holds an Electronics Engineering degree from MS University of Baroda and a post-graduate degree in Master of Management Studies (MMS) from Mumbai University.
IME's Review of Bay Capital PMS
| AMC Rating | Pedigree Rating | Team Rating | Philosophy Rating |
|---|---|---|---|
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View on AMC
While Bay Capital has a lot of ingredients that can lead to it building a strong domestic alternatives business, we would wait for the domestic business to mature & scale a bit more prior to more actively recommending Bay Capital Funds.
AMC's Pedigree
Founded in 2006, Bay Capital Investment Advisors has maintained a single-minded conviction in India’s growth story. Bay Capital does have reasonable pedigree, driven by a strong investments team, a long-term track record and a defined investment philosophy. However, this has largely been on the back of their managing FII funds, and their domestic PMS-AIF business is still relatively nascent.
AMC Team
Bay Capital PMS is overseen by the experienced and skilled investment team, with both Nikunj and Keyur coming with over 2 decades of investments experience each at pedigreed investment firms. Nikunj Doshi, Managing Partner and Principal Officer & CIO for PMS, leads the investment strategy with over 34 years of experience in equity research and fund management. The core Bay Capital team manages investments for both their FII & domestic AMC businesses.
Investment Philosophy
Bay Capital follows a long-only, buy-and-hold strategy that focuses on Indian equities. They maintain a concentrated portfolio of 15-20 businesses that can generate high returns on capital without leverage. Investments are selected based on strict bottom-up criteria emphasizing quality, growth, value, and managerial integrity.
Investment Strategy
Bay Capital Opportunity strategy is a long-term, high-conviction investment approach focused on owning quality businesses with strong corporate governance, high RoCE, and scalable growth potential.
Core Investment Approach
Business-Owner Mindset in Stock Selection:
- Focus on high-quality franchises with a long investment horizon (8–10 years).
- Emphasis on companies with sustainable competitive advantages and governance frameworks.
Strict Selection Process
- Uses a multi-stage filtering process that starts with ~1,000 businesses and narrows to 20-30 high-conviction investments.
- Key Selection Criteria:
- ROCE > 20% over 10 years.
- Avoids capital-intensive, cyclical, and government-dependent sectors.
- Preference for asset-light businesses capable of reinvesting free cash flow at high returns
Sector Preferences:
- What They Invest In: Consumer, Consumer Tech, Financials, Technology, Pharma, Outsourcing (Manufacturing & Logistics).
- What They Avoid: Commodities, Real Estate, Infrastructure, businesses with governance issues.
AMC History
Bay Capital is an independent investment firm established in 2006 with a strong conviction in India’s long-term growth story and a core focus on equity markets. The firm has built a solid pedigree through a seasoned investment team, a clearly defined investment philosophy, and a long-term track record, primarily managing FII capital. Its domestic PMS–AIF platform, however, remains relatively early-stage compared to its offshore business.
Investment Philosophy
Bay Capital follows a long-only, buy-and-hold approach focused on Indian equities. Portfolios are constructed with a high-conviction mindset, typically holding 15–20 businesses capable of generating high returns on capital without reliance on leverage. Stock selection is driven by bottom-up fundamentals, emphasising business quality, growth durability, valuation discipline, and management integrity.
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