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Right Horizons Super Value M&S Cap

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 mutual fund universe.

IME Strategy Rating

Midcap Focused: A diversified equity portfolio that endeavours to achieve long-term capital appreciation and generate returns by investing in Mid & Small cap companies enjoying some economic moat or undergoing special situations or in the midst of an unfavourable business cycle. Right Horizon- Super Value is a relatively new strategy and has outperformed 2 out of 3 Calendar years. We would prefer for the strategy to age to better understand the team’s ability to perform better over the long term and in different market conditions.

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 Right Horizons Super Value M&S Cap

Type: Flexi Cap | Value | AUM (102.7 cr) | Inc Date (30 Nov 2012)

Right Horizons Super Value-Investment Strategy

Super Value is a blended Mid and Small-cap strategy identifying multi bagger stocks. Benchmark agnostic sectoral exposure in midcap companies having higher risk tolerance. Portfolio turnover being moderate. Super value’s benchmark being NSE Mid Cap 150.

Investment Suitability 

Super Value is ideal for investors looking for concentrated portfolio. It aims to deliver sustainable out-performance over long term. This is most suitable for investors with moderate to high-risk appetite and looking for high teen returns. 

Investment Process

  • RH Screener: RH screen from a universe of 1300 companies based on ROE, ROCE, PAT Growth, Promoter holding, etc. 
  •  RH Scorecard: Their Stock Evaluation Framework is built based on the emphasis on Valuation and Return Ratios, Forensic Filters and Selected line items from Financial Statements. 
  • RH Risk Radar: Their Risk Evaluation Criteria looks at regulatory changes to be able to capture business risk, limit sector and stock level exposure and re-balance portfolio.
  • RH Pendulum: Stock re-balancing framework giving focus on both fundamental levels and opportunistic technical levels. 

Portfolio Construction

Core Portfolio: Capital Efficient high growth companies ~ 80% portfolio allocation 

Satellite Portfolio: Companies with turnaround stories/ Contrarian bets having higher margin of safety and greater risk-reward potential ~ 20% portfolio allocation

 

Trailing Performance

1yr 3yr 5yr Since Inception
Right Horizons Super Value M&S Cap 51.3 31.2 27.7 17.9
S&P BSE 500 TRI 39.5 19.5 19 15.7
Alpha over Broad Mkt BM 11.8 11.7 8.7 2.2
Nifty 500 38.4 18.1 17.5
Alpha over Category BM 12.9 13.1 10.2

Performance as of: 28-Feb-23 | Inception Date: 30-Nov-12

Fund Managers

Anil Rego | 3-star rated FM

Founder & CEO | 27 yrs Experience | 20 yrs at current firm

Past Experience: Manager – M&A and Business Planning (Wipro)

Anil Rego started his career with Wipro Technologies with roles in Business Planning and Mergers and Acquisitions. Later, in Oct 2003, he went on to start Right Horizons (with an initial focus on wealth management). Anil has also served as a member, Board of Governors, at IBSAF.

Piyush Sharma | 3-star rated FM

Portfolio Manager | 20 yrs Experience | 13 yrs at current firm

Past Experience: Co-Founder and Portfolio Manager (Metis Capital Management Ltd.), Principal (Contravest Associates), Senior Equity Analyst & VP (Longbow Research)

Prior to joining Right Horizon, Piyush Sharma’s experience was as an international investor investing in India through listed equity-focused offshore and onshore structures. The experience runs across several industries in the USA and India, including Business Services, Auto & Auto parts, Consumer Products, Specialty Retail, Consumer Finance, and Special Situations.

Fee Structure

Fee StructureFee
Fixed Fee Structure2.5
Variable Fee Structures1.25% fixed + 15% above 10% hurdle
Exit Fees1yr(2%), 2yr(1%)

AMC

AMC: Right Horizons PMS (click link for detailed AMC review)

Not a recommended AMC: While Right Horizons has matured and also developed a certain level of scale & performance, we would still wait a bit prior to recommending Right Horizons for investments - primarily on account of the high level of volatility in annual performance which we would like to first see stabilise.

Right Horizons 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.

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