Stallion Core
Stallion PMS | Equity | | PMSIME's View on Stallion Core
Strategy
Monopoly Focused Approach
Investment Fund
Stallion has recently crossed the 5-yr mark since inception. The fund has been able to demonstrate consistent performance on their momentum based investment approach. We accordingly recommend the fund to investors with higher risk appetite given the investment philosophy and the higher churn in the portfolio.
Fund's Strategy View
The Strategy structures its portfolio into two categories, allocating 40-60% each to Proven Monopolies and Emerging Monopolies. The fundamental objective is to invest in businesses that have a track record of leadership in their sector and are poised to sustain their leadership across 4 core sectors (Consumer, Financials, Consumer Tech & Pharma). Unlike many pure fundamental based investment strategies, that focus on longer-term buy & hold, Stallion prefers a more dynamic & momentum-based strategy (as indicated in their preference on buy & rotate over buy & hold, preference to buy companies making 52w highs than 52w lows, focus on identifying new leaders in each cycle).
Fund Performance
The fund has outperformed peers & is amongst the top performing schemes in this category in the last 5 year trailing returns. In terms of longer-term annual performance, performance has been highly consistent, with the fund having outperformed it's benchmark in over 80% of annual calendar years.
IME's View on Stallion PMS
View on AMC
Stallion offers a higher-risk, higher-churn, momentum-tilted investment strategy that caters well to investors seeking growth through trend-following approaches. While relatively new as an AMC, Stallion has carved out a strong presence in the PMS space through consistent outperformance within its chosen style and a focused commitment to identifying emerging and proven market leaders.
AMC's Pedigree
Stallion PMS is a young firm with a successful fund since inception, known for their defined investment philosophy in momentum investing within a niche market. The firm evolved from a research analyst outfit into a SEBI-registered PMS in 2018. Consistent outperformance on their strategy has helped build their pedigree as an AMC.
AMC Team
The investment team is led by Amit Jeswani, Founder and CIO, who has nearly nine years of experience in formal, regulated roles, including over six years as a hands-on PMS fund manager. A CFA and CMT charterholder, Amit brings a blend of fundamental and technical insights to Stallion’s momentum-tilted strategy. He is supported by Juhi Shah and Arpit Shah, who contribute to research and execution, forming a compact yet focused team known for agility, high conviction, and trend-based stock selection. Despite not having a prior public strong track record, Amit has consistently outperformed at Stallion for the past 5 years.
Investment Philosophy
Fund follows a trend-following, growth investing approach with a strong emphasis on identifying emerging and proven monopolies. The strategy focuses on four key attributes—market leadership, management quality, size of opportunity, and margin of safety. We appreciate Stallion's investment philosophy of focusing on high-quality businesses with current market momentum, which can lead to higher churn and is considered higher-risk, making it more suitable for investors with a higher risk appetite.
Stallion Asset Core Fund- Investment Strategy
Stallion Asset – Core Fund is a multi-cap strategy. A combination of top-down and bottom-up approaches for picking stocks and sectors. Invest in 2 kinds of Business- Proven Monopolies (40-60% allocation): Asset light businesses which don’t need capital to grow and that can reinvest all free cash flows at high ROIC with strong competitive advantages.
- Emerging Monopolies (40-60% allocation): These are companies with low market share in large markets. The team aims to identify such opportunities early.
Investment Approach
Focus on 4Ms:- Market Leadership: Focus on monopolies
- Management: evaluated based on capital allocation and capital distribution among other aspects
- Market Opportunity: Invest in companies that address a market that is large enough to allow investments to grow 4-5x without needing to compete
- Margin of Safety: Do not use PE Ratio’s instead focus on Capital Allocation & Distribution
- Businesses that don’t have recurring revenue or get revenues from govt/project business
- Commodity like businesses that get worse with size
- Businesses with a growth rate less than Cost of Capital
- Hold on to looser for a Long time.
- Commodities
- Land Bank Play
- Bad Promoter
- Valuation Arbitrage
- Government Businesses (B2G or G2B)
RISK MANAGEMENT
Exit from Core Stocks/ Sell- Change in Expected growth rate
- Incremental return of capital employed
- Competitive Advantage Period
- Cost of Capital
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| Stallion Core | 4.7 | 38.1 | 32.2 | 29.8 |
| S&P BSE 500 | -6.6 | 14.7 | 19.2 | 16.2 |
| Alpha over Broad Mkt BM | 11.3 | 23.4 | 13 | 13.6 |
Performance as of: 30-Sep-25 | Inception Date: 22-Oct-18 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Amit Jeswani | 3-star rated FM
Founder & CIO | 15 yrs Experience | 7 yrs at current firm
Amit Jeswani is a CFA Charter holder and CMT. He has over 14 years of in capital markets. He is an active member of the Association of Technical Market Analyst and Indian Association of Investment Professionals.
