Scheme Rating
IME Scheme Rating
The Scheme does not meet our selection criteria at this time
Not a recommended fund: This is not a recommended fund, primarily because the AMC does not meet our selection criteria. We believe that there are better fund houses to invest in, within the Indian fund universe.
IME Strategy Rating
Muti-Cap Strategy: This strategy endeavours to generate steady returns in varying market conditions by following a disciplined, process-driven approach with reliance on rigorous fundamental research, judicious capital allocation across & within sectors, strict adherence to various risks like concentration risks, liquidity risks etc and vigilant monitoring.
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 Prabhudas Lilladher Core Multicap
Prabhudas Lilladher Multi Strategy- Investment Strategy
Multi-cap strategy, large-cap biased. BVM Matrix-based selection.
CORE BELIEFS
- Stock Selection- Driven by fundamental, bottom-up research to identify potential outstanding opportunities.
- Active Management- Actively aligning portfolio with changes in business cycles as it can lead to generating alpha.
- Long-Term Horizon- a buy and hold approach, with 3-5 years of maturity period for capital appreciation.
INVESTMENT APPROACH
- Companies with strong Balance Sheet/ Financial Discipline- low or no debt; falling financial leverage, having a conservative capital structure, improvement in ROC and ROE, likelyhood of generating free cash flows, sales growth translating into profit margins
- Corporate Governance- low related party transactions, low contingent liabilities, having an independent board of directors, auditors credibility and reputation, transparency and timely disclosures
- Business Potential- revenues being in small relation to a large and/or growing market or large in a fast growing market, revenue streams that are recurring in nature strengthening their competitive positions/consolidating market positions, operating in a niche market/segments
- Management and shareholding- looking for management team with integrity, capability and having innovative mindset, high promoter ownership, alignment with minority interests, owner/manager dynamic exists, good capital allocator+ strategic operators
Investment Process
Stock selection done on the basis of fundamentals, valuations, industry & company growth prospects ad assessing risk-reward.
Stock selectivity to mitigate stock concentration risk, portfolio consisting of 15-20 individual securities. Asset allocation based on conviction. The max exposure of individual stock is 10%
Sector Selectivity done on the basis to mitigate non-stock-specific risk. Diversify across multiple industries that will support current secular themes of economy. Active management of industry over & under-weights. Sector capped at 30% at the portfolio NAV.
Sell-call decision made on the basis of facts deviating from assumptions. when the fundamentals are in deterioration like poor capital allocation, exhaustion of growth opportunities. If there are availability of superior investment opportunities. when stocks become expensive as compared to its intrinsic value.
Portfolio Constructed on high conviction, concentrated portfolio focused efficiently balancing risk and reward
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| Prabhudas Lilladher Core Multicap | 25.7 | 9.4 | 13.8 | 8 |
| S&P BSE 500 TRI | 41.1 | 18.4 | 22.4 | 13.5 |
| Alpha over Broad Mkt BM | -15.4 | -9 | -8.6 | -5.5 |
| Nifty 500 | 40.2 | 17.2 | 21 | |
| Alpha over Category BM | -14.5 | -7.8 | -7.2 |
Performance as of: 30-Sep-24 | Inception Date: 08-May-07
Fund Managers
Ajay Bodke | 4-star rated FM
CEO & Chief Portfolio Manager | 27 yrs Experience | 11 yrs at current firm
Past Experience: Head-Investment Strategy (Prabhudas Liladher Pvt Ltd), Sernior VP & Senior Fund Manager (IDFC AMC), Assistant VP and Fund Manager (SBI Mutual Fund), Equity Research Analyst (SBI Mutual Fund)
Ajay Bodke has rich experience of over 2 decades as Senior Portfolio Manager with marquee mutual fund houses such as IDFC MF, Standard Chartered MF & SBI MF.
Fee Structure
| Fee Structure | Fee |
|---|---|
| Fixed Fee Structure | 2.5 |
| Variable Fee Structures | 1% fixed + 20% above 12% hurdle |
| Exit Fees | 1yr(3%), 2yr(2%) |
AMC
AMC: Prabhudas Lilladher PMS (click link for detailed AMC review)
Not a recommended AMC: While Prabhudas Lilladher PMS has the backing of an established broking house and a seasoned fund manager, it has struggled to scale the PMS platform. A lack of a clearly defined investment style, fairly generic portfolio offerings, weak performance and the lack of scale are the main reasons we do not recommend investments in PL PMS.
Prabhudas Lilladher PMS does not meet our criteria for PMS AMC Selection at this time. Understand our AMC rating criteria at AMC Rating Criteria or contact us via the LiveChat to learn more.
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.