Motilal AMC Opportunity

Scheme Rating

IME Scheme Rating

The Scheme does not meet our selection criteria at this time

Wait for performance to improve: While Motilal has all the required credentials for a strong PMS strategy, continued underperformance in recent years with limited signs of strategies to turn around the same, lead to us not recommending Motilal IOP at this time. We would wait for clearer signs of performance to improve before recommending the same.

IME Strategy Rating

Small & Midcap Focused Strategy: It aims to deliver superior returns by investing in stocks from sectors that can benefit from India’s emerging businesses, predominantly investing in Small and Midcap stocks with a focus on identifying potential winners. There is a clearly defined investment philosophy of long-term investing in high-quality companies that meet Motilal’s QGLP Philosophy (Quality, Growth, Longevity, Price).

PMS Scheme Ratings are driven by IME’s Proprietary Scheme Rating Methodology, which takes into account our ratings of the Scheme’s investment strategy, its maturity, the investment team, and our separate rating on the AMC that runs this particular scheme. Our views on each of these individual criteria are available via the IME RMS – which you can view by reaching out to one of our relationship managers (using either the live chat or book appointment feature on this site).

IME View on Motilal AMC Opportunity

Type: Mid & Smallcap | GARP | AUM ( cr) | Inc Date (15 Feb 2010)

Investment Philosophy

Motilal’s India Opportunity Portfolio, aims to generate long-term capital appreciation by investing in a focussed portfolio of high-growth small & mid-cap stocks, that have a potential to grow more than the nominal GDP for the next 5-7 years and are available at reasonable market prices.

QGLP Framework

Motilal has a very clearly defined investment philosophy of long-term investing in high quality companies that meet their QGLP investment criteria. They have followed this strategy consistently for over 2 decades, with limited style drift.

The QGLP Framework:

  • Quality of the Business and Quality of the Management: Stable businesses preferable consumer facing, with huge business opportunity and sustainable competitive advantages. Businesses run by competent management.
  • Growth in Earnings: Driven by volume growth, price growth, mix change, operating and financial leverage.
  • Longevity (of Quality and Growth): Dictated by long-term relevance of the business, extending competitive advantage period and sustenance of growth momentum.
  • Price: Reasonable valuation, relative to quality and growth prospects with high margin of safety.

Once they have identified stocks that meet their strict QGLP criteria, Motilal aims to Sit Tight (by following a long-term buy-and-hold approach in concentrated stock portfolios.)

QGLP Framework for Small-caps

  • Quality: Motilal believes that in certain small-cap companies quality is not yet proven but quite a few tend to be at the ‘point of emergence’. Motilal defines ‘Point of Emergence’ as a point at which a company starts to generate a return on equity above the cost of equity (typically 12%)
  • Growth: Small-cap companies have a much stronger correlation to GDP growth. 
  • Longevity: many small-cap companies have huge growth potential providing a long runway for growth. The key to selecting the right small-cap companies lies in identifying high-quality management.
  • Price: prices tend to be a lot more volatile. Motilal believes ‘making money in small caps needs the vision to see, courage to buy and the patience to hold’.

Trailing Performance

1yr 3yr 5yr Since Inception
Motilal AMC Opportunity 0
S&P BSE 500 TRI 0
Alpha over Broad Mkt BM 0
Nifty Midcap 150
Alpha over Category BM

Performance as of: 30-Jun-24 | Inception Date: 15-Feb-10

Fund Managers

Fee Structure

Fee StructureFee
Fixed Fee Structure2.5
Variable Fee Structures1.5% fixed + 15% above 10% hurdle
Exit Fees1yr(2%)


AMC: Motilal Oswal AMC PMS (click link for detailed AMC review)

Not a top recommendation (at this time) due to weak recent performance: Motilal PMS comes with a very high level of pedigree. Co-founded by a highly-respected and pedigreed investor, Motilal has a number of advantages - stability of its core PMS investment team, very strong investment processes, a very clearly defined investment philosophy and the benefits of the backing of a strong broking & MF business. However, this strong pedigree has failed to reflect in the performance of the strategies (which have been weak, especially in recent years), which results in a lower 3-star rating for one of the more established PMS providers.

AMC Rating

3 of 5 stars

AMC Pedigree

5 of 5 stars

AMC Size

5 of 5 stars

Team Pedigree

4 of 5 stars

Inv Philosophy

5 of 5 stars


1 of 5 stars

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