SageOne Mid & Small Cap
SageOne PMS | Equity | | PMSIME's View on SageOne Mid & Small Cap
Strategy
Investment Fund
SageOne Mid & Small cap has a well defined investment strategy, and run by a team with a private equity background. However performance in recent years has been a bit subdued (even as longer-term performance remains strong), and performance volatility is a bit on the higher side. A 2 cr min investment may also prove to be a bottleneck for some investors. SageOne Mid & Small cap can be considered for investments by more aggressive investors.
Fund's Strategy View
SageOne Core Portfolio is a concentrated Mid & Small-cap strategy (~15-20 companies), that focuses on investing in the high-quality business with the potential for strong growth. This focus on high-quality high-growth companies, has been strongly folllowed over the years. The market cap focus is 3000 - 40,000 cr.
Fund Performance
Fund returns are largely in-line with category average returns over the past 5 years. In terms of longer-term annual performance, performance has been consistent, with the fund having outperformed it's benchmark in over 60% of annual calendar years.
IME's View on SageOne PMS
View on AMC
SageOne focuses on investing in fast-growing, high-quality businesses for the long term. CIO Samit Vartak has developed his investment credentials at SageOne and has almost a decade of experience, making him a seasoned investor. With a strong research team and investment philosophy, SageOne PMS is a good option for investors looking for mid and small-cap exposure.
AMC's Pedigree
The pedigree of an FM-founded PMS, such as SageOne, is driven by the FM and their team. SageOne is led by Samit Vartak, who has a decade of experience in private equity and corporate strategy.
AMC Team
Samit Vartak has a solid investment background and is backed by a research analyst team with adequate experience. However, there has been senior-level turnover at SageOne, with co-founders Manish and Kuntal leaving in 2016.
Investment Philosophy
Investment philosophy focuses on building high-conviction portfolios of high-quality businesses with strong fundamentals and sustainable competitive advantages. They seek companies demonstrating superior growth (often targeting 20%+ compounded earnings growth) led by clean and competent management.
AMC Background
SageOne was founded in 2012 by Samit Vatrak, an investment professional with prior experience in private equity and corporate advisory. The firm received its PMS license in 2017 and launched its first strategy, SageOne Diversified Portfolio, in January 2017. Since then, SageOne has expanded its offerings across small/micro-cap and large-cap PMS strategies, along with AIF products. The core objective of the AMC is to apply a private equity–style, long-term investment approach to listed equities, with a strong emphasis on business quality, growth durability, and capital allocation discipline rather than short-term market movements.
Key Strengths in Mid and Small-Cap Space SageOne is led by Samit Vatrak, whose background in private equity and corporate strategy materially influences the firm’s investment philosophy. Supported by a focused research team and a clearly articulated framework, SageOne has built credibility in the mid and small-cap space for investors seeking high-conviction, growth-oriented portfolios.Investment Philosophy
SageOne’s investment philosophy is defined by the SAGE framework — Sustainable, Accountable, Growth-oriented, and Efficient. The aim is to invest in high-conviction growth businesses with durable competitive advantages, clean governance, and capable management, acquired at reasonable valuations. The focus remains firmly on business quality, and the firm avoids structurally weak businesses irrespective of how attractive valuations may appear.
Philosophy Built On
- Superior Growth: Minimum ~20% earnings CAGR at the individual company level and ~25% at the portfolio level.
- Market Share Gains: Incremental earnings growth driven by increasing share within the industry.
- Profitability: Strong businesses with ROE >20%, enabling internally funded growth.
- Capital Allocation: Incremental ROE higher than existing return ratios.
- Efficient Moats: Industry leaders or emerging leaders with superior positioning and execution.
- Reasonable Valuation: Valuation discipline applied only after business quality is established.
Risk Management
- Prudent Stock Selection: Driven by deep business and financial analysis, supported by internal forensic filters to eliminate governance risks.
- Sector & Group Limits: Maximum 25% exposure to a sector and 20% exposure to any single business group.
- Active Rebalancing: Dynamic liquidity and exposure management based on macro risks, valuations, and market conditions.
- Continuous Monitoring: Ongoing channel checks and proactive entry/exit decisions driven by changes in business fundamentals.
Suitable For
Investors seeking exposure to high-quality growth businesses through a concentrated, private equity–style investment approach, with the ability to withstand interim volatility in pursuit of long-term compounding.
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| SageOne Mid & Small Cap | 3.5 | 26 | 24.1 | 18.2 |
| S&P BSE 500 | 4.9 | 14.6 | 17.2 | 15.9 |
| Alpha over Broad Mkt BM | -1.4 | 11.4 | 6.9 | 2.3 |
| Nifty Midcap 150 | 7.5 | 23 | 24.6 | |
| Alpha over Category BM | -4 | 3 | -0.5 |
Performance as of: 30-Nov-25 | Inception Date: 22-Jan-17 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Samit Vartak | 4-star rated FM
Founder & CIO | 27 yrs Experience | 14 yrs at current firm
Past Experience: Axis PE (VP), Ernst & Young (Associate Director)
Samit is the Founding Partner & CIO of SageOne. He has experience in Private Equity (at Axis PE Fund) and Corporate Strategy, Investment Banking and Business Valuations in the US (at E&Y and Deloitte).
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