Unifi Blended Rangoli
Unifi PMS | Equity | | PMSIME's View on Unifi Blended Rangoli
Strategy
Combination of Top-7 themes
Investment Fund
Unifi Rangoli is a good thematic/multi-cap strategy backed by a credible team with more than a decade of experience in running/identifying successful themes, and AMC pedigree.
Fund's Strategy View
Rangoli Fund cherry-picks the best opportunities from across seven themes that Unifi manages -- Spin-off, Deep Value, Hold Co, APJ20, Green, Insider Shadow, and BCAD. The portfolio is likely to have around 15-20 holdings in the strategy. It is a tightly defined thematic investment portfolios. Unifi's Rangoli funds aims to invest in what they perceive to be the best opportunities across the 7 thematic strategies that they run. Since the 7 thematic strategies does lead to a reasonably large investment universe, this may be considered more of a 'best-ideas' fund, as compared to a tightly defined thematic strategy.
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 consistency has been mixed, with the fund having outperformed & underperformed the bechmark roughly in half the years.
IME's View on Unifi PMS
View on AMC
Unifi's unique thematic investment approach and experienced in-house team have positioned them as a leading player in the PMS market, allowing them to successfully deliver consistent results across various strategies and achieve significant growth.
AMC's Pedigree
Since its founding in 2001 by Sarath Reddy, Unifi has grown into a leading PMS player in India - impressively, without the backing of a big broker, AMC, or a star fund manager. It’s a testament to Reddy’s sharp entrepreneurial drive. Now, with the launch of its own mutual fund and GIFT City platforms, Unifi is taking further strides in institutionalising its business.
AMC Team
Unifi's investment team is made up of individuals with limited prior investment expertise, but they have developed strong in-house research capabilities and a consistent process. This stability has allowed them to create their own unique investment style, with Sarath Reddy playing the key role as CIO driving investment decisions.
Investment Philosophy
Unifi has traditionally focused on a thematic investment style, with the launching of specific thematic funds at different points in time (this includes funds like Event Arbitrage, Delisting, Insider Shadow, Sector Trends, Deep Value, Holdco, SpinOff, APJ 20 and BCAD). As the firm scaled, they have shifted their focus away for pure closed-ended thematic funds, towards an open-ended Rangoli strategy that encompasses stocks across the 7 major themes Unifi has invested in the past (making it now more comparable to a flexi-cap strategy, as compared to pure thematic investing).
PMS Background
Founded in 2001 by Sarath Reddy, Unifi has scaled into one of the top five PMS providers in India, a trajectory made particularly credible by the fact that the platform was built independently without the backing of a large broker, mutual fund house, or star fund manager. Unifi’s growth has been driven by deep client engagement and a differentiated product philosophy centered on identifying time-bound market opportunities and launching focused, often close-ended strategies rather than maintaining perpetual evergreen offerings. This ability to consistently conceptualize, execute, and close niche strategies has allowed Unifi to establish itself as a distinctive PMS franchise despite operating without institutional sponsorship.
PMS Investment Philosophy
Unifi follows a value-driven approach to investing in growth businesses, where valuation discipline is paramount but business growth is viewed as the critical catalyst for re-rating. The firm focuses on niche opportunities that are often constrained by time and deployable capital, leading to strategies that are launched selectively and closed once the underlying opportunity matures. This philosophy has resulted in a thematic investing framework, where each strategy is built around a clearly defined market inefficiency or structural trend rather than broad-based market exposure.
Core Thematic Frameworks
- Spin-off: Exploits mispricing arising from corporate restructurings and special situations.
- Deep Value Discount (DVD): Targets businesses trading at a deep discount to intrinsic value due to low liquidity, limited market understanding, smaller market capitalisation, or weak benchmark linkage.
- HoldCo: Identifies strong underlying operating businesses embedded within holding company structures, where valuation discounts are expected to narrow due to regulatory or governance-driven change.
- APJ20: Focuses on sectors that are becoming globally competitive and are entering a phase of sustained market expansion, investing in firms well-positioned to benefit from these shifts.
- Green: Invests in companies enabling carbon reduction or more efficient use of natural resources, across themes such as emission control, energy efficiency, water management, and waste management.
- Insider Shadow: Invests alongside founders who have made meaningful open-market share purchases, indicating high internal conviction.
- BCAD: Targets established companies leading market share migration from unorganised to organised segments, benefiting from structural consolidation trends.
Thematic Strategy Orientation
Each Unifi strategy is structured around a specific, well-defined theme spanning special situations, deep value, disruption-led consolidation, sustainability, or insider-led conviction. These strategies typically operate in less crowded segments of the market and are designed to deliver differentiated, risk-adjusted returns while also serving as portfolio diversifiers.
Suitable For
Investors seeking targeted exposure to clearly defined investment themes and time-bound opportunities, rather than broad, benchmark-oriented equity strategies.
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| Unifi Blended Rangoli | -0.1 | 13.4 | 19.4 | 19.1 |
| S&P BSE 500 | 4.9 | 14.6 | 17.2 | 14.4 |
| Alpha over Broad Mkt BM | -5 | -1.2 | 2.2 | 4.7 |
Performance as of: 30-Nov-25 | Inception Date: 07-Jun-17 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Sarath K Reddy | 5-star rated FM
CIO | 36 yrs Experience | 25 yrs at current firm
Past Experience: Navia Markets (MD), Stan C (Manager)
Having started his career with Standard Chartered Bank, Sarath founded Unifi Capital in 2001 and has since built the company into one of the leading PMS providers in India. As CIO, he works closely with his investment team to deliver outperformance on Unifi PMS strategies.
Baidik Sarkar | 4-star rated FM
Fund Manager | 19 yrs Experience | 18 yrs at current firm
Past Experience: Unifi (Corporate Finance), PWC (Strategy Consultant)
Baidik has been with Unifi for over a decade, with core responsibilities of research in the IT, real-estate and the agricultural sectors and assisting the CIO in managing the spin-off and APJ funds.
Saravanan V N | 4-star rated FM
Fund Manager | 26 yrs Experience | 19 yrs at current firm
Past Experience: Unifi (Corporate Finance), ICICI Bank (Credit Manager), PWC (Article Assistant)
Saravanan has been with Unifi for over a decade, with primary responsibilities of tracking pharmaceuticals, NBFC, and domestic debt markets. He has a specific specilisation in debt securities and identifying arbitrage opportunities.
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