ValueQuest FasterCap
ValueQuest PMS | Equity | | AIFIME's View on ValueQuest FasterCap
Strategy
Picks & Shovel in Megatrend Cat 3 Open-ended Strategy
Investment Fund
The strategy's objective of focusing on emerging themes based on structural changes without diluting the rigour of company selection makes it relatively agile compared to their other strategies. While this is a new fund, the strategy and the strong pedigree of the AMC/Team provide a solid foundation.
Fund's Strategy View
ValueQuest FacterCap follows an Industry Inflexion Framework, which involves selecting a few focused themes (15-25 stocks) based on the Macro Cycle, Industry Cycle, Business Cycle, and Valuation Cycle. These themes/companies are pursued for a rolling period of 3-5 years, after which the companies are reassessed and aligned with the current themes identified through this framework. The lack of guardrails on how many themes the portfolio would be invested at any point in time is unclear, thereby making it similar to an aggressive flexi-cap strategy.
Fund Performance
We refrain from evaluating the fund since it is yet to mature (less than 5 years).
IME's View on ValueQuest PMS
View on AMC
ValueQuest is a founder-managed PMS provider with an experienced fund management team and a strong 10-year track record. The AMC leverages the Dharamshi families much longer-term track record spanning multi-decades in the broking business.
AMC's Pedigree
ValueQuest has a 10-year track record of outperformance in their 'VQ - Growth' strategy, establishing themselves as a credible PMS player. The founder-managed portfolio provides consistency to the investment philosophy and processes.
AMC Team
ValueQuest AMC is managed by 2 experienced fund managers, Ravi Dharamshi, and Sameer Shah, along with 10 research analysts. Ravi Dharamshi is from RARE, and Sameer Shah is from FCH Centrum, BRICS Securities, and Sharekhan.
Investment Philosophy
ValueQuest's strategy focuses on investing in businesses with sustainable advantages and large opportunity sizes, where the team has an informational or analytics advantage. The firm runs a highly concentrated mandate companies, with a bias towards mid and small cap. Fund managers have discretion in managing their strategies within the ValueQuest investment philosophy framework.
Investment Strategy
ValueQuest FasterCAP is a Category III AIF, designed to invest in companies experiencing scale transformation and benefiting from multi-year structural trends. The fund follows a long-only, multi-cap, sector-agnostic approach, leveraging the Growth at Inflexion Points (GRIP) framework to identify businesses with non-linear growth potential.
Core Investment Approach
Growth at Inflexion Points (GRIP) Strategy:
- Identifies sectors and companies undergoing major business transformations, leading to scale changes.
- Focuses on emerging industry leaders, challengers, and disruptors with long-term growth potential.
S.C.A.L.E. Framework for Stock Selection:
- Scalability: Businesses positioned for exponential growth.
- Competitive Advantage: Strong market positioning and moats.
- Adaptive Business Model: Ability to adjust to evolving industry trends.
- Long Runway for Growth: Sustainable revenue and earnings expansion.
- Execution Excellence: Proven management and financial strength.
Investing in Both Listed & Pre-IPO Companies:
- The fund allocates up to 25% to pre-IPO opportunities, capturing early-stage market entry advantages.
- Invests in high-quality, high-growth businesses before they achieve full market recognition.
Sector & Market Cap Flexibility:
- A Concentrated portfolio of 15-25 stocks
- Balanced exposure across large, mid, and small caps, depending on risk-reward dynamics.
Trailing Performance
| 1yr | 3yr | 5yr | Since Inception | |
|---|---|---|---|---|
| ValueQuest FasterCap | 14.04 | 16.85 | ||
| S&P BSE 500 | -6.6 | -3.64 | ||
| Alpha over Broad Mkt BM | 20.6 | 20.5 |
Performance as of: 30-Sep-25 | Inception Date: 01-Aug-24 | Performance are post-fees, pre-taxes. Global funds denominated in USD or fund currency.
Investment team
Ravi Dharamshi | 4-star rated FM
Co-Founder and Portfolio Manager | 23 yrs Experience | 19 yrs at current firm
Past Experience: Analyst (RARE Enterprises)
Ravi Dharamshi is the Founder & CIO of ValueQuest Investment Advisors. He has an MBA in Finance from McCallum Business School, US. He returned from the US after a brief internship stint at Salomon Smith Barney. He has been associated with the Indian stock markets for over 21 years. After graduating, he worked his way up through the stock market business, spending four years at RARE Enterprises under the aegis of Rakesh Jhunjhunwala and Utpal Sheth, where he was involved with in-depth research and private equity deals.
Sameer Shah | 3-star rated FM
Co-Founder and Portfolio Manager | 26 yrs Experience | 17 yrs at current firm
Past Experience: Head Business Development (Centrum)
Sameer Shah is the Co-Founder and Portfolio Manager of ValueQuest. He holds a Chartered Accountancy degree with over 22 years of capital markets experience. Previously, he was vice president of business development at FCH Centrum, BRICS Securities, and Share.
