Lake Water Advisors Lake Water- Investment Strategy
Lake Water Advisors’ Lake Water is a multi-cap strategy. The guiding principles are corporate governance, competitive moat, margin of safety, research and development, innovation, asset-light, debt-free, and patience.
Investment Philosophy
- Asset Light– Lakewater PMS focuses on asset light models as they lead to better return on assets, lower profit volatility, flexibility and scale-driven cost savings. This in turn ensures lesser load on fiscal performance via models. Asset light models are used as an instrument to constantly battle market disruptions better.
- Sound Corporate Governance-Focus on corporate governance helps to attract domestic and foreign investors. A company’s trajectory is well defined by its compliance with governing rules. Companies that have an efficient governance can achieve financing, maintain share value, improve long term sustainability, and have transparency in reporting.
- Debt Free– Seek for companies that have no or low debt businesses which are low-risk investments. Businesses that have low debt are least affected by a regressive economy or leap in interest rates. The precursor here being protected from fluctuating interests has a better way of dealing with fiscal formalities.
- Research and Development– Lakewater PMS believes in replicating efforts backed by unfaltering research. Lakewater PMS invests in companies that invest their time in revolutionary research and whose creations stand out. Lakewater seek to invest in firms creations.
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| Lake Water Growth | 3.8 | 1.9 | 10 | 10.7 |
| S&P BSE 500 | 8.4 | 12.7 | 16.8 | 14.3 |
| Alpha over Broad Mkt BM | -4.6 | -10.8 | -6.8 | -3.6 |
| S&P BSE 500 | 8.4 | 12.7 | 16.8 | |
| Alpha over Category BM | -4.6 | -10.8 | -6.8 |
Performance as of: 31-Jan-25 | Inception Date: 20-Jun-19
Fund Managers
Fee Structure
| Fee Structure | Fee |
|---|---|
| Fixed Fee Structure | 2.5 |
| Variable Fee Structures | 1.5% fixed + 15% above 10% hurdle |
| Exit Fees |
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Note: PMS AMC & Scheme Reviews and Ratings are based on IME Capital’s Proprietary Review and Rating Methodology (read more here: AMC Rating & Scheme Ratings). These reflect the unbiased views of our central research team, based on our assessment of the investment value of these PMS/AIF strategies for our investors. We follow a highly stringent rating-criteria, where approximately 50% of PMS AMC’s & strategies would be rated 2-star or below (this is not meant to indicate that these funds are not investment-worthy, but that they do not currently fulfill the requirements we focus on for recommending funds to our investors — based on our internal views on the merit of the AMC/strategy relative to peers). Reviews & Ratings are primarily based on research of publicly available information (SEBI disclosures, PMS websites, PMS-aggregation platforms, webinar recording, media interviews etc.) and no explicit consent is required from AMCs for the same. While we endeavour to do further due-diligence via direct interactions with the investment teams of AMCs, this is typically restricted to AMC’s that meet our foundational fund selection criteria (reviews on lower-rated AMCs are often based solely on publicly available information). The views reflected in our Reviews & Ratings, are our independent views and may not be shared by the AMC’s and the investment teams. Please read detailed disclaimer for more.