Valentis Rising Star Opportunity

Investment Philosophy

Valentis Rising Stars Opportunity is a small- and mid-cap focused value strategy, with a clearly defined market capitalisation universe of ₹500–10,000 crore, a segment characterised by relatively low institutional and FII ownership. The strategy is positioned to identify companies at an inflection point in their earnings cycle, combining valuation discipline with growth recovery potential. Valentis follows a “3U” philosophy—targeting stocks that are undervalued, underperforming, and under-owned—reflecting a strong preference for mispriced opportunities where incremental earnings improvement can drive meaningful re-rating. The approach adheres to a GARP mindset, explicitly avoiding the payment of excessive valuations for growth.

Investment Process

The investment process follows a structured funnel, beginning with a broad opportunity set and progressively narrowing to a high-conviction portfolio through layered research and monitoring.

• Search Phase (500–600 companies): Combination of top-down macro analysis, including global indicators and industry trends, with bottom-up qualitative and quantitative screening focused on reasonable valuations, historical earnings growth, return ratios, leverage, and free cash flow characteristics.
• Fundamental Research (80–100 companies): In-depth due diligence involving management interactions, Porter’s framework, value chain analysis, detailed financial modelling, and application of the Valentis 3U framework.
• Portfolio Construction (15–20 companies): Final portfolio built with continuous monitoring of earnings trajectory and valuation metrics to maintain an appropriate risk–return balance.

Strategy Positioning

The strategy’s explicit emphasis on undervalued, underperforming, and under-owned businesses differentiates it within the mid-cap value space. The focus on under-recognised companies inherently introduces a small-cap bias, which is intentionally embedded in the strategy design and consistently reflected across portfolio construction.

AMC Background

Valentis Advisors PMS was founded in 2016 by Jyotivardhan Jaipuria (a seasoned & respected ex-DSP ML fund manager). Seasoned Equity Strategist runs the AMC Valentis PMS is still young but has all the key ingredients to emerge as a credible niche PMS player. Its founder-cum-CIO, Jyotivardhan Jaipuri , is a seasoned & respected equity strategist and they have a clearly defined and differentiated investment philosophy. Jyotivardhan Jaipuria is a highly seasoned equity strategist (having worked at DSP Merrill Lynch for over 2 decades), but his experience is more as an equity strategist with his longer-term track record of managing funds yet to be established.

Investment Philosophy

Valentis Advisor’s follow a 3 “U” Philosophy – aiming to buy stocks that are undervalued, underperforming and under-owned. There is a strong research focus, with an aim to make long-term investments in stocks that are at an ‘inflection point’ in their earnings cycle. Valentis is not willing to pay exorbitant valuations for growth. GARP is their motto. Clearly Articulated Value Focussed Strategy Strong value focus (undervalued, underperforming & under-owned stocks) is a core differentiator and is well articulated. A focus on under-owned & under-recognised stocks, does indicate a small-cap bias which is clearly seen in their strategies. Suitable For Suitable for investors seeking a strong value focussed fund (undervalued, underperforming & under-owned stocks).