Smallcap, Multicap PMSes Top Dec-20 Charts; 1 out of 4 Beat Nifty

PMSBazaar has compiled data for the largest number of PMS schemes numbering over 190 across more than 90 portfolio managers

11 Jan 2021

With 2020 year ending on a high, PMS investors signed off the eventful year on a cheerful note as portfolio managers reported upto 12.8% return in December-20. Smallcap, Multicap PMSes topped charts with double-digit monthly gains. Overall, 1 out of 4 portfolio strategies outperformed the 7.8% ascent in Nifty in December, a sign of how PMSes have emerged as a robust alpha generator.

PMSBazaar, which compiles initial data for over 190 PMS schemes across more than 90 managers, has chronicled the rise and rise of PMS as a tool for wealth creation over the years. December 2020 was in sync with the recovery seen in markets after the 'vaccine developments' globally.

Dec-20 in review

The narrative in financial markets has definitely shifted from despair to hope. Countries around the globe are fine-tuning their vaccine roll-out strategies, as Coronavirus is booted out at a rapid pace. Though some countries/regions like the U.S., Britain, Germany still reel from the virus, domestic equities in India have long shrugged off the impact of Covid-19.

In December, the Indian benchmark indices again touched new highs. The Nifty was up 7.8% for the month. In comparison, S&P BSE Smallcap rose 7.2% while the S&P BSE Midcap gained 5.7%. As a representation of multicap portfolios, the S&P BSE 500 advanced 7.7%.

PMS strategies had a great month. None of the 191 PMSes reported negative returns. 44 PMSes out-performed the Nifty.

Best performers

The best performing PMS in Dec-20 was Negen Capital Small Cap Emerging strategy with 12.83% gain. As the name says, this is a smallcap strategy.

It is followed by Basant Maheshwari Wealth Advisers Equity Fund with 11.51% rise. This is a multicap scheme. Credent Asset Management Growth Portfolio delivered 10.94% advance. This is also a multicap strategy.

Concept Investwell Legend is the 4th best with 10.86%. This is a largecap strategy.

The 5th best is TCG Advisory Services Multicap Fund with 10.85% return.

Also in the top 10 list are Stallion Asset Core Fund (up 10.52%), SageOne Core (up 10.40%), Asit C Mehta Investment Intermediaries Ace Multicap (up 10.2%), Ambit Inv. Advisors Coffee Can (up 10.00%) and Nafa Asset Managers Emerging Bluechip (up 9.81%).

Click here to Access Full Performance Report

Category specifics

For the purpose of this article, we are mentioning only those categories which have at least 4 funds. This means we will not be mentioning arbitrage, multi asset, ETF categories. Debt strategies are also being ignored.

In the 5-member Large & Midcap category, the best scheme is Emkay Investment Managers Emkay Lead with 8.1% gain.

In the 19-member Largecap category, Concept Investwell Legend is best with 10.86% gain in Dec-20. Among Largecap PMSes, 9 strategies, including Ambit Inv. Advisors Coffee Can and Right Horizons Indian Business Leader, beat the respective largecap index (Nifty).

In the 19-member Midcap category, Nafa Asset Managers Emerging Bluchip is the best with 9.81% rise. As many as 9 Midcap PMSes, including Motilal Oswal Focused Midcap and Right Horizons Super Value, beat the S&P BSE Midcap index.

In the 107-member Multicap category, Basant Maheshwari Wealth Advisers Equity Fund is the best performing strategy with 11.51% gain. Overall, 27 Multicap PMSes, including Credent Asset Management Growth Portfolio and TCG Advisory Services Multicap Fund, out-performed the S&P BSE 500 index in Dec-20.

In the 5-member Sector fund category, Kotak Fintech is the best scheme with 8% rise in December 2020.

In the 10-member Small & Midcap category, the three best strategies are Valentis Advisors Rising Star Opportunity (up 9.29%), Edelweiss Focused Smallcap (up 9.2%) and JHP Securities Incredible India (up 8.52%).

In the 13-member Smallcap category, Negen Capital Small Cap Emerging is the best with 12.83% jump. Only three Smallcap PMSes were able to beat the S&P BSE Smallcap benchmark this month.

Lastly in the 5-member Thematic category, Green Portfolio Dividend Yield is the best strategy with 7.66% rise.

Recent Blogs

Portfolio Managers get time till October 1 to comply with new SEBI norms

In a welcome move, Portfolio Managers have been given a 3-month additional extension to comply with new norms relating to fees and charges, direct client on-boarding, nomenclature of ‘investment approach’, performance reporting, documents disclosure etc.

AIFs get time till Aug 7 for regulatory filings

Alternative Investment Funds (AIFs) have just got a major compliance burden off their back for some more time. Markets regulator SEBI has given another relaxation in compliance norms to AIFs in terms of regulatory filings. This paves the way for AIFs to do regulatory filings of March, April, May and June 2020 before August 07, 2020.

Do you know that PMS offers SIP STP SWP SWITCH TOPUP

We are surprised to note many are not aware that PMS provides all the flexible options available in the Mutual fund industry. Yes, many PMS Companies provide SIP/STP/SWP/SWITCH/TOP UP options .....

PMS Portfolio Deep Scan What the study of 120 plus portfolios reveals

PMSBazaar presents an industry-first analysis of the full portfolios of about 60% of India's multi-billion dollar PMS industry

Emergence of a robust new asset class of high yield credit investment opportunities

Real estate means different things to different people. For the average joe, it is home. For a builder, it is raw material. For users, it can be office, property, warehouse, hotels and what not. From an investing perspective, Real Estate or RE makes imminent sense for Indian HNIs, family offices, NRIs and offshore capital pools. Real Estate asset backed investments bring something very refreshing to the table for investors. In fact, RE backed investing is emerging as a robust new asset class when you combine them with High Yield (HY) credit investment opportunities.

Here is solid proof that PMSes beat MF equity funds in alpha generation

The gold standard of measuring an investment's success is alpha i.e the extent of out-performance over the benchmark return over a period. This logic makes a lot of sense. Investors pay fees to the investment manager to out-perform i.e. get bang for the buck. After looking at the data for the last 1 year, 3 years, 5 years and 10 years, we have conclusive proof that PMS is a good vessel to generate alpha and they also beat MF equity funds. Read on to know why we are saying this.

Shankar Sharma speaks on What Asset Allocation is and what it is not

The key to successful investing, over the long term, is to have every major Asset Class in your consideration set: The word Asset Allocation is bandied around rather casually these days. Hence it is important to understand what Asset Allocation is not. Understand from Mr. Shankar Sharma, Vice Chairman & Jt. Managing Director, First Global.

Promoters have a hundred reasons to sell but have one major reason to buy

One of the major differences between developed markets and India is the way management and owner(s) operate. In countries like the US and Europe, the ultimate owner/promoter of a listed company and executive management are different. But, in India management and ownership are often married to each other. So, when the promoter raises their stake in a company, there should be a lot of interest in knowing why that happened. "Promoters may have a hundred reasons to sell, but they usually have one major reason to buy," says G. Maran, Executive Director, Unifi Capital in an exclusive webinar with PMS Bazaar.

Copyright © 2021 PMS Bazaar. All Rights Reserved.