SlideShare a Scribd company logo
[Title to come]
[Sub-Title to come]
Strictly for Intended Recipients Only
Date
* DSP India Fund is the Company incorporated in Mauritius, under which ILSF is the corresponding share class
November 2022
DSP Quant Fund
(An open ended equity scheme investing based on a quant model theme)
Portfolio Updates
2
DSP Quant Fund Performance (as of 31 Oct 2022)
YTD 3 month 1 year Inception
Fund-Dir -5.7% 3.1% -5.0% 16.0%
Fund-Reg -6.3% 2.9% -5.7% 15.1%
Index 5.5% 5.5% 4.2% 15.9%
Risk Metrics^ Direct - G Regular - G Index
Jensen's Alpha 1.1% 0.2%
Beta 0.90 0.90 1.00
Standard Deviation 20% 20% 21%
Information Ratio 0.01 -0.13
Sharpe Ratio 0.50 0.46 0.46
Sortino Ratio 0.56 0.51 0.52
Up capture 92% 90%
Down capture 90% 92%
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or
may not sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index
Source: MFIE-ICRA analytics, Internal; The performance numbers are total return series from 10-Jun-2019 to 31 Oct-2022 for the direct and regular growth option. Benchmark index is S&P BSE200 TRI
Jensen's Alpha is a risk-adjusted performance measure of the excess returns of the portfolio above or below that predicted by the CAPM or capital asset pricing model, given the portfolio’s beta and
the market returns. Beta is a measure of the volatility or systematic risk of a portfolio to that of market represented by fund’s benchmark. Standard deviation is a measure of volatility which measures
how widely individual performance returns, within a performance series, are dispersed from the average or mean value. Lower standard deviation is considered to be better. Information ratio is a
measure of risk adjusted return. It divides the portfolio’s excess return relative to benchmark by its tracking error vs. the benchmark. Sharpe ratio is a risk-adjusted measure calculated as the ratio of
excess portfolio return over the risk free rate divided by the portfolio standard deviation. The Sharpe ratio determines return per unit of risk. Sortino ratio is a variation of the Sharpe ratio that
differentiates downside volatility from total volatility. It is calculated as the ratio of excess return (portfolio return less risk free rate) to the standard deviation of negative returns (downside
deviation) instead of the total standard deviation of portfolio returns. A higher Information Ratio, Sharpe Ratio and Sortino ratio is considered to be better. Up/Down capture measures annualized
performance of the portfolio in up/down markets relative to the market benchmark. A ratio above 1 is considered to be better. Risk free rate (5.99% end Oct’22) is represent by overnight MIBOR rate
published by FBIL
Benchmark index is S&P BSE200 TRI. Returns <1 year are absolute and >1 year are
compounded annualized.
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
Jun-19
Jul-19
Sep-19
Nov-19
Dec-19
Feb-20
Mar-20
May-20
Jul-20
Aug-20
Oct-20
Nov-20
Jan-21
Mar-21
Apr-21
Jun-21
Jul-21
Sep-21
Nov-21
Dec-21
Feb-22
Mar-22
May-22
Jul-22
Aug-22
Oct-22
INR
Value
Growth of INR 10,000 Investment at Inception
Direct
Regular
Index
^ Risk Metrics is for the period since inception to 31 Oct 2022, in annualized term
3
Portfolio Details
The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these
sector(s)/stock(s)/issuer(s).. The portfolio of the scheme is rebalanced every quarter end.
Portfolio details as on 31 Oct 2022 post the portfolio re-balance carried on in Sep end. Exits in the Sep 30, 2022 rebalance: Titan.
Names in red italics refer to names added in the recent re-balance. L = Large Cap (1-100th Rank by Mkt. Cap.), M = Mid Cap (101-250th Rank by Mkt. Cap.)
Name Mkt Cap % of Assets
ACC M 1.9
Ambuja Cements L 2.4
Asian Paints L 2.0
Coromandel Int. M 1.4
JSW Steel L 2.0
Pidilite Industries L 1.7
UltraTech Cement L 2.0
Materials 13.4
Britannia Industries L 1.7
Colgate-Palmolive M 1.7
Dabur India L 1.7
Hindustan Unilever L 2.1
ITC L 1.8
Marico L 1.3
Nestle L 1.9
Cons. Staple 12.3
Abbott India M 0.9
Alkem Laboratories M 1.1
Cipla L 2.1
Dr. Reddy's L 1.9
IPCA Laboratories M 0.8
Torrent Pharma. L 1.6
Healthcare 8.4
Bajaj Auto L 3.5
Crompton Greaves M 2.0
Hero Motocorp L 2.6
Page Industries M 2.7
Cons. Disc 10.8
Astral M 2.0
Cummins India M 1.8
Havells India L 2.9
L&T Technology M 0.8
Larsen & Toubro L 3.4
Industrials 10.8
Name Mkt Cap % of Assets
Bajaj Finance L 4.1
Bajaj Finserv L 4.1
HDFC Bank L 4.3
HDFC Life Insurance L 3.1
HDFC L 4.4
ICICI Bank L 5.2
ICICI Lombard L 2.3
ICICI Prudential L 2.0
Kotak Mahindra Bank L 3.2
Financials 32.5
Name Mkt Cap % of Assets
HCL Technologies L 1.9
Infosys L 1.8
L&T Infotech L 1.5
Mphasis Limited L 1.1
TCS L 1.8
Tech Mahindra L 1.7
Wipro Limited L 1.6
IT 11.5
4
Relative attribution by sector (past 3 months)
Source: Internal, Factset, Portfolio – DSP Quant Fund; Benchmark – S&P BSE 200 TRI; The portfolio of the scheme is rebalanced quarterly
Returns presented are gross basis; Attribution data has been sourced from FactSet which uses bottom up methodology whereby constituents of both the index and the Fund are priced at the same point in time.
FactSet returns do not take into account Transaction costs or Management fees. FactSet assumes trades go through at closing prices rather than the actual price that may have been traded at during the day. This
data is not of audit quality but is considered useful management information i.e. it will fail to pick up the impact of transaction prices differing from daily closing prices.
(Performance since the previous rebalance) 29 July 2022 to 31 October 2022
Portfolio Benchmark Relative Attribution
Sector
Average
Weight
Total
Return
Contrib. To
Return
Average
Weight
Total
Return
Contrib. To
Return
Allocation
Effect
Selection
Effect
Total
Effect
Communication Services -- -- -- 2.7 14.0 0.4 -0.2 -- -0.2
Consumer Discretionary 11.8 -2.3 -0.3 8.6 8.9 0.7 0.1 -1.3 -1.1
Consumer Staples 12.4 2.5 0.3 8.9 4.2 0.4 -0.0 -0.2 -0.2
Energy -- -- -- 10.2 2.0 0.2 0.4 -- 0.4
Financials 30.1 3.2 1.1 31.7 7.1 2.2 0.0 -1.3 -1.2
Health Care 8.2 5.8 0.5 4.7 5.4 0.3 -0.0 0.0 0.0
Industrials 10.2 6.5 0.6 6.6 11.8 0.7 0.2 -0.5 -0.3
Information Technology 13.3 -1.6 -0.3 11.9 -1.0 -0.0 -0.2 -0.1 -0.2
Materials 13.5 10.8 1.3 8.7 3.4 0.3 -0.1 1.0 0.9
Real Estate -- -- -- 0.5 -4.9 -0.0 0.1 -- 0.1
Utilities -- -- -- 5.5 8.4 0.4 -0.2 -- -0.2
Cash 0.6 -- 0.0 -- -- -- 0.0 -- 0.0
Total 100.00 3.24 3.24 100.00 5.54 5.54 -0.02 -2.28 -2.30
• Consumer discretionary stock selection was a detractor
• Consumer electricals (Havells/Crompton Greaves) were impacted by weak margins in the Sep quarter due to volatility in commodity prices. The
companies continue to gain market share with strong brands and diversified product portfolios, healthy marketing spends and strong distribution.
Margins are expected to improve as input prices stabilize. Volume growth in rural/ entry segments remains a challenge due to inflation.
• Similarly, two wheelers (Bajaj Auto/Hero Moto), despite attractive valuation metrics, underperformed peers catering to premium end bikes and
cars/SUVs as volume growth in premium segment was far more robust as compared to the entry level.
• Financials stock selection was a detractor
• Underweight on banks – namely; PSU Banks, Axis Bank was a detractor. Banks, benefitting from a tailwind of improving net interest margins in a rising
interest rate environment coupled with a benign credit environment, outperformed Insurance companies. The Fund has a material weight in Private
Banks but is not overweight relative to the index.
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not
sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index
The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these
sector(s)/stock(s)/issuer(s).
5
Relative attribution by security (past 3 months)
(Performance since the previous rebalance) 29 July 2022 to 31 October 2022
Source: Factset, Portfolio – DSP Quant Fund; Benchmark – S&P BSE 200 TRI; The portfolio of the scheme is rebalanced quarterly
Returns presented are gross basis; Attribution data has been sourced from FactSet which uses bottom up methodology whereby constituents of both the index and the Fund are priced at the same point
in time. FactSet returns do not take into account Transaction costs or Management fees. FactSet assumes trades go through at closing prices rather than the actual price that may have been traded at
during the day. This data is not of audit quality but is considered useful management information i.e. it will fail to pick up the impact of transaction prices differing from daily closing prices.
Portfolio Benchmark Attribution
Holding
Average
Weight Total Return
Average
Weight Total Return
Total
Effect
Top 5 relative stock contributors 100.0 3.24 100.0 5.54 -2.30
Ambuja Cements Limited 2.9 42.2 0.3 42.2 0.9
Cipla Ltd 2.0 20.0 0.5 20.0 0.2
Titan Company Limited 1.9 10.8 1.0 17.0 0.2
Infosys Limited 2.3 0.3 5.2 0.3 0.1
Astral Limited 2.1 12.0 0.2 12.0 0.1
Bottom 5 relative stock contributors
Crompton Greaves Consumer Electricals Ltd. 0.7 -12.5 0.2 -8.2 -0.4
Bajaj Auto Limited 3.3 -6.2 0.5 -6.2 -0.3
ICICI Prudential Life Insurance Co. Ltd. 2.1 -8.3 0.2 -8.3 -0.3
Havells India Limited 2.7 -2.6 0.3 -2.6 -0.3
Mphasis Limited 1.5 -14.0 0.2 -14.0 -0.3
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not
sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index
The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in
these sector(s)/stock(s)/issuer(s).
6
Performance of DSP Quant Fund v/s Individual factors - Quarterly
The performance numbers are total return series from 30-Dec-2020 to 31-Oct-2022. DSP Quant Fund performance numbers are for direct plan growth option. Factor portfolios are created using factor tilting
approach representing portfolios having stocks displaying high values on the respective factor. The factor portfolios are rebalanced every quarter end. Data Source: FactSet, Bloomberg, DSP Investment
Managers.
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain
in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. Figures
mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is
rebalanced at end of every quarter.
22.6%
3.6%
7.8%
15.0%
23.8%
6.8%
8.9%
12.0%
24.2%
4.9%
7.0%
10.1%
12.6%
8.0% 7.4%
12.9%
32.2%
9.6% 10.4%
13.8%
2020 Q4 2021 Q1 2021 Q2 2021 Q3
0.2%
-6.0%
-12.7%
13.1%
-0.8%
0.3%
-9.2%
10.9%
-0.4%
-2.1%
-9.3%
8.0%
-1.2% -0.5%
-6.9%
7.4%
-0.2%
1.7%
-8.4%
10.7%
2021 Q4 2022 Q1 2022 Q2 2022 Q3
DSP Quant Fund S&P BSE 200 TRI Quality Growth Value
Recent two quarters continued to see relative outperformance of Value factor, a trend that has
persisted for most of the past two years.
7
Performance of DSP Quant Fund v/s Individual factors (annualized, since
inception)
Combining multiple factors instead of using single factors is expected to provide diversification benefits
The performance numbers are total return series from 10-Jun-2019 to 31-Oct-2022, depicted in annualized terms. DSP Quant Fund performance numbers are for direct plan growth option.
Factor portfolios are created using factor tilting approach representing portfolios having stocks displaying high values on the respective factor. The factor portfolios are rebalanced every quarter
end. Data Source: FactSet, Bloomberg, DSP Investment Managers.
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain
in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. Figures
mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. The portfolio of the scheme is
rebalanced at end of every quarter.
14.8%
11.9%
19.8%
16.4% 16.4%
0%
5%
10%
15%
20%
25%
Quality
Factor
Growth
Factor
Value
Factor
Quant
Fund
S&P
BSE
200
TRI
QUANT FUND V/S INDIVIDUAL FACTORS (10th Jun 2019 – 31th Oct 2022)
8
Performance of DSP Quant Fund v/s Eliminated buckets
Highlights the importance of the ELIMINATION STAGE in the overall investment process
Decomposing the performance
of stock baskets on the basis of
each elimination criteria
Majority of the baskets
highlighted by the elimination
criteria DETRACTED VALUE
from the index performance
The performance numbers are total return series from 10-Jun-
2019 to 31-Oct-2022 for DSP Quant Fund Direct plan growth
option. Eliminated basket portfolios are created using cap
weighted methodology for the Eliminated Baskets. Data Source:
FactSet, Bloomberg, DSP Investment Managers..
Last quarter saw
outperformance of the
eliminated baskets relative to
the index
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should
not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. It is not possible to invest directly in an index. Figures
mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is rebalanced at end of
quarter.
12.0% 10.8%
28.4%
10.3%
16.4% 16.4%
0%
5%
10%
15%
20%
25%
30%
Forensic
analysis
RED
Flags
High
Beta
High
Leverage
Public
Sector
Undertakings
Quant
Fund
S&P
BSE
200
TRI
QUANT FUND V/S ELIMINATED BASKETS (10th JUN 2019 – 31st OCT 2022)
6.4% 6.5%
10.7%
8.7%
3.1%
5.5%
0%
2%
4%
6%
8%
10%
12%
QUANT FUND V/S ELIMINATED BASKETS (29th JUL 2022 – 31st OCT 2022)
9
Performance of DSP Quant Fund v/s Composite eliminated basket
Alpha generated via the elimination process
Composite eliminated basket
DETRACTED SUBSTANTIAL VALUE
from Index performance
Highlights the importance of the
ELIMINATION STAGE in the overall
investment process
The performance numbers are total return series from 10-Jun-2019
to 31-Oct-2022 for DSP Quant Fund Direct plan growth option.
Performance is in annualized terms for periods greater than 1 year
and in absolute terms for periods of less than 1 year. Eliminated
basket portfolios are created using cap weighted methodology for
the Eliminated Baskets. Data Source: FactSet, Bloomberg, DSP
Investment Managers.
Eliminated baskets materially
outperformed the index in the
past quarter
Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should
not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. It is not possible to invest directly in an index. Figures
mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is rebalanced at end of
quarter.
16.4% 16.4%
10.5%
0%
10%
20%
QUANT
FUND
S&P
BSE
200
TRI
COMPOSITE
ELIMINATED
BASKET
QUANT FUND V/S ELIMINATED BASKETS (Inception to 31st Oct 2022)
3.1%
5.5%
6.5%
0%
2%
4%
6%
8%
QUANT FUND V/S ELIMINATED BASKETS (29th JUL 2022 – 31st OCT 2022 )
10
Calendar year returns
2022 = YTD as of 31 Oct 2022. Source: MFIE-ICRA Analytics and FactSet. Past performance may or may not sustain in future and should not be used as a basis for comparison with
other investments. Figures mentioned for performance of the Quant Model do not in any manner indicate the returns/performance of the scheme. Refer to Annexure 1 and 2 for
performance in SEBI prescribed format and of other schemes managed by same Fund Manager.
INVESTMENT PROCESS
12
Investment Process
ELIMINATE STOCKS
from the S&P BSE 200 Index
SELECT GOOD COMPANIES
from the above shortlist
ASSIGN WEIGHTS
to create the final portfolio
200 stock
universe
~ 100 stocks
30 – 50 stocks
Exclude stocks which may destroy value
× High debt
× Excessive volatility in stock prices
× Inefficient capital allocators
× Poor quality of reported earnings
Select final list by ranking stocks based on average scores for:
✅ Quality
✅ Growth
✅ Value
Weights assigned to manage risks
 Single Stock exposure limits
 Single Sector exposure limits
 Exposure limits based on stock liquidity
Model converts sound investing principles into a RULES BASED investment process
BASED ON A QUANT MODEL
REVIEW & REBALANCE every quarter
13
Stage 1 : Criteria used for elimination
Difficulty to service
interest payments
Raises risk of defaults
which further
tightens liquidity
In case of defaults,
creditors get
preference over
equity holders
× High DEBT TO EQUITY
(applicable to all sectors
ex financials)
HIGHLY LEVERAGED
COMPANIES
× High BETA
HIGHLY VOLATILE
STOCKS
NON-ALIGMENT OF
MANAGEMENT
INCENTIVES
POOR QUALITY OF
REPORTED
EARNINGS
× High PRICE
VOLATILITY
Typically highly
cyclical businesses
Disproportionately
high stock price
volatility on a relative
& absolute basis
Potential red flag
Haven’t added value
to equity holders over
the long term
× Ownership
Criteria
Shareholder wealth
creation is not a
primary goal
Business decisions
maybe driven by
other considerations
Minority shareholders
get sub-optimal
returns
× LOW reliability of earnings
× WEAK balance sheets
× POOR cash conversion
× Potential governance issues
Accounting &
Management issues
can lead to severe
value destruction
Forensic analysis of
financials disclosures
can throw up
potential red flags
Extensive criteria to identify and eliminate potential value destroyers from the investible universe
14
Details of Forensic Analysis
PARAMETERS CONSIDERED IN THE FORENSIC OVERLAY
REPORTED
EARNINGS
QUALITY
BALANCE
SHEET HEALTH
WORKING
CAPITAL CYCLE
ANALYSIS FOR
FINANCIALS :
ALM, ASSET
QUALITY ETC.
MANAGEMENT
ACTIONS
Large divergence in accounting v/s cash flow
entries suggest aggressive accounting policies
Examples: Divergence in
× EBITDA (earnings before interest, taxes, depreciation and
amortization ) v/s Cash Flow from Operations
× Interest entry in Cash Flow Statement v/s P&L Statement
× Annual depreciation rates
Badly managed balance sheets at
higher risk of financial distress
Examples: Weak metrics on
× Interest coverage ratio
× Debt/Equity market capitalization
× Credit rating
Cash flow conversion & liquidity issues
are early signs of business problems
Example: Variability and deterioration in
× Debtor days, inventory days and creditor
days
Aggressive growth -> Asset quality issues->
Solvency risk
High short term funding -> Liquidity risk
Examples:
× High NPA(Non Performing Assets)
growth
× High Short term debt to total debt
× Provisioning cover
Imprudent management actions can
destroy minority shareholder value
Examples:
× High promoter pledge
× High related party transactions
× High loans and advances
Forensic analysis is a critical part of the elimination process
EBITDA –Earnings before Interest, Taxes, Depreciation and Amortization , NPA-Non Performing Assets, ALM-Asset Liability Management
15
Stage 2 : Selection process
EVALUATING FACTORS
Determine core
investment
principles also
known as Factors*
Select metrics for
each factor, rank
each company on
every factor and
arrive at an average
factor score
Select companies
with the highest
average factor
scores
SELECTION PROCESS FLOW
~ 100 STOCKS
(remaining after the
elimination stage)
30 – 50 STOCKS
(final portfolio
selection)
Showing a
history of
generating
alpha
Used to arrive at
factors which
are quantifiable
And ideally have
low correlation
with each other
Help to
construct a
diversified
portfolio
Which is constantly
reviewed for adherence to
the core principles
Core
investment
principles
Factors convert core investment
principles into easily measurable metrics
Factors have historically been principal
drivers of alpha
*Based on research, established in back-tests
16
Stage 2 : Selection of good companies
(with)
GOOD
PROSPECTS
(at a)
GOOD PRICE
(a) GOOD
COMPANY
QUALITY FACTOR
✔ High RETURN ON EQUITY
✔ CONSISTENT Earnings growth
Profitable and well
run companies
Steady earnings
streams
Receive a premium in
the market
GROWTH FACTOR
✔ High EARNINGS GROWTH
(consensus estimates)
Strong growth
prospects
Attract investor
interest
VALUE FACTOR
✔ Attractive DIVIDEND YIELD
✔ High FREE CASH FLOW YIELD
Relatively inexpensive
stocks compared to
the market
Potential to generate
excess returns during
phases of value
discovery
Receive a premium
in the market
EVALUATING COMPANIES ACROSS MULTIPLE FACTORS
Using a multi-factor approach to assess companies in a holistic manner
17
Stage 3 : Optimization process
Optimized
weights for each
selected stock
Maximize
portfolio
factor
exposure
Stock level
constraints
Sector level
constraints
Quarterly
rebalancing
LOWER OF 10% OR 10X OF
WEIGHT IN S&P BSE 200 INDEX
(avoid concentration, ensure
liquidity/capacity)
MAX SECTOR ACTIVE WEIGHT = 10%
(avoids risk of sector rotation)
MAXIMIZE PORTFOLIO FACTOR SCORE
(weighted average factor score)
QUARTERLY REBALANCING
(to minimize turnover)
ASSIGN WEIGHTS TO 30 – 50 SELECTED STOCKS AND CREATE FINAL PORTFOLIO
Optimization done with the objective of creating a diversified portfolio
18
Risk Management embedded into the Quant model
 No sector concentration (sector weights not more than 10% of the benchmark weight)
 No stock concentration (stock weights capped at 10% and stock active weights also capped)
 Stocks with limited/low liquidity assigned weights of no more than 1% (measured through days
taken to liquidate the position using average market volumes)
 Avoiding stocks with high leverage, forensic red flags, high price volatility – highly volatile stocks
 Avoiding stocks that show weakening growth, profits and margins – disrupted business models
 Valuation risk managed through relative ranking approach that automatically penalizes companies
which do not pay dividend or do not generate meaningful free cash flows
 Relative ranking model avoids loss making companies
Disclaimer : The above indicates the strategy/investment approach currently followed by the Scheme(s) and the same may change
in future depending on market conditions and other factors.
19
Risks of investing in the Scheme
 The Quant model may go through periods of underperformance and there is no guarantee that the
backtested results will be achieved
 The scheme invests in equities and is subject to general risks associated with investments in equity
markets such as price risk, liquidity risk
20
Annexure 1 – Performance of DSP Quant Fund in SEBI prescribed format
Performance details provided herein are of regular plan growth option as of 31 Oct 2022
21
Annexure 1 – Performance of DSP Quant Fund in SEBI prescribed format
Performance details provided herein are of direct plan growth option as of 31 Oct 2022
22
Annexure 2 – Performance of schemes managed by same Fund Managers
Performance details provided herein are of regular plan growth option as of 31 Oct 2022
23
Annexure 2 – Performance of schemes managed by same Fund Managers
Performance details provided herein are of regular plan growth option as of 31 Oct 2022
24
Annexure 2 – Performance of schemes managed by same Fund Managers
Appointment of Fund Manager is effective from May 1, 2022. Performance details provided herein are of regular plan growth option as of 31 Oct 2022
25
Annexure 2 – Performance of schemes managed by same Fund Managers
Appointment of Fund Manager is effective from May 1, 2022. Performance details provided herein are of regular plan growth option as of 31 Oct 2022
26
Product labelling details
Fund Product Suitability Scheme Riskometer Benchmark Riskometer
S&P BSE 200 TRI
DSP Quant Fund
(An open ended equity
scheme investing based on a
quant model theme)
This open ended equity scheme is suitable for investors who
are seeking*
Long term capital growth
Investment in active portfolio of stocks screened, selected,
weighed and rebalanced on the basis of a predefined
fundamental factor model
* Investors should consult their financial advisers if in doubt about whether the Scheme is suitable for them.
27
Disclaimer
In this material DSP Investment Managers Private Limited (the AMC) has used information that is publicly available, including information developed in-house. Information
gathered and used in this material is believed to be from reliable sources. The AMC however does not warrant the accuracy, reasonableness and / or completeness of any
information. The data/statistics are given to explain general market trends in the securities market, it should not be construed as any research report/research recommendation.
We have included statements / opinions / recommendations in this document, which contain words, or phrases such as “will”, “expect”, “should”, “believe” and similar
expressions or variations of such expressions that are “forward looking statements”. Actual results may differ materially from those suggested by the forward looking statements
due to risk or uncertainties associated with our expectations with respect to, but not limited to, exposure to market risks, general economic and political conditions in India and
other countries globally, which have an impact on our services and / or investments, the monetary and interest policies of India, inflation, deflation, unanticipated turbulence in
interest rates, foreign exchange rates, equity prices or other rates or prices etc. The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research
report/recommendation of the same and may or may not have any future position in these sector(s)/stock(s)/issuer(s). The portfolio of the scheme is subject to changes
within the provisions of the Scheme Information document of the scheme. There is no assurance of any returns/potential/capital protection/capital guarantee to the
investors in this Scheme. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. This document
indicates the investment strategy/approach/framework currently followed by the Scheme and the same may change in future depending on market conditions and other
factors. All figures and other data given in this document are as on 31 Oct 2022 (unless otherwise specified) and the same may or may not be relevant in future and the same
should not be considered as solicitation/ recommendation/guarantee of future investments by the AMC or its affiliates. Investors are advised to consult their own legal, tax and
financial advisors to determine possible tax, legal and other financial implication or consequence of subscribing to the units of schemes of DSP Mutual Fund. For complete
details on investment objective, investment strategy, asset allocation, scheme specific risk factors please refer the scheme information document and key information
memorandum of the scheme, which are available at AMC and registrar offices and investor service centres/AMC website- www.dspim.com. Mutual Fund investments are
subject to market risks, read all scheme related documents carefully.
INVESTMENT MANAGERS

More Related Content

Similar to DSP Quant Fund

DSP Midcap Fund
DSP Midcap FundDSP Midcap Fund
DSP Midcap Fund
DSP Mutual Fund
 
DSP Quant Fund - Investment Process
DSP Quant Fund - Investment ProcessDSP Quant Fund - Investment Process
DSP Quant Fund - Investment Process
DSP Mutual Fund
 
DSP Quant Fund
DSP Quant FundDSP Quant Fund
DSP Quant Fund
DSP Mutual Fund
 
Hdfc
HdfcHdfc
Hdfc
HdfcHdfc
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
South Asia Fast Track
 
IDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlightIDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlight
JubiIDFCEquity
 
IDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlightIDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlight
Rahulpathak154
 
IDFC Sterling Value Fund_Fund spotlight
IDFC Sterling Value Fund_Fund spotlightIDFC Sterling Value Fund_Fund spotlight
IDFC Sterling Value Fund_Fund spotlight
IDFCJUBI
 
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTERJPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
Bernard Lambeau
 
Mercer Capital | The Ins and Outs of Business Development Companies
Mercer Capital | The Ins and Outs of Business Development CompaniesMercer Capital | The Ins and Outs of Business Development Companies
Mercer Capital | The Ins and Outs of Business Development Companies
Mercer Capital
 
DSP Dynamic Asset Allocation Fund
DSP Dynamic Asset Allocation FundDSP Dynamic Asset Allocation Fund
DSP Dynamic Asset Allocation Fund
DSP Mutual Fund
 
DSP Dynamic Asset Allocation Fund Presentation
DSP Dynamic Asset Allocation Fund PresentationDSP Dynamic Asset Allocation Fund Presentation
DSP Dynamic Asset Allocation Fund Presentation
DSP Mutual Fund
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
Rahulpathak154
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
IDFCJUBI
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
JubiIDFCEquity
 
2011 - Q1 - Commentary
2011 - Q1 - Commentary2011 - Q1 - Commentary
2011 - Q1 - Commentary
Drew Beja
 
IDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlightIDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlight
JubiIdfcHybrid
 
IDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlightIDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlight
JubiIdfcHybrid
 
DST
DSTDST

Similar to DSP Quant Fund (20)

DSP Midcap Fund
DSP Midcap FundDSP Midcap Fund
DSP Midcap Fund
 
DSP Quant Fund - Investment Process
DSP Quant Fund - Investment ProcessDSP Quant Fund - Investment Process
DSP Quant Fund - Investment Process
 
DSP Quant Fund
DSP Quant FundDSP Quant Fund
DSP Quant Fund
 
Hdfc
HdfcHdfc
Hdfc
 
Hdfc
HdfcHdfc
Hdfc
 
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
Sourajit Aiyer - Finance Monthly Magazine, UK - Concentration and Volatility,...
 
IDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlightIDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlight
 
IDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlightIDFC Core Equity Fund _Fund spotlight
IDFC Core Equity Fund _Fund spotlight
 
IDFC Sterling Value Fund_Fund spotlight
IDFC Sterling Value Fund_Fund spotlightIDFC Sterling Value Fund_Fund spotlight
IDFC Sterling Value Fund_Fund spotlight
 
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTERJPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
JPM Global Dividend A (acc) - EUR[LU_EN][2_5_2016]_AFTER
 
Mercer Capital | The Ins and Outs of Business Development Companies
Mercer Capital | The Ins and Outs of Business Development CompaniesMercer Capital | The Ins and Outs of Business Development Companies
Mercer Capital | The Ins and Outs of Business Development Companies
 
DSP Dynamic Asset Allocation Fund
DSP Dynamic Asset Allocation FundDSP Dynamic Asset Allocation Fund
DSP Dynamic Asset Allocation Fund
 
DSP Dynamic Asset Allocation Fund Presentation
DSP Dynamic Asset Allocation Fund PresentationDSP Dynamic Asset Allocation Fund Presentation
DSP Dynamic Asset Allocation Fund Presentation
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
 
IDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly noteIDFC Sterling Value Fund_Quarterly note
IDFC Sterling Value Fund_Quarterly note
 
2011 - Q1 - Commentary
2011 - Q1 - Commentary2011 - Q1 - Commentary
2011 - Q1 - Commentary
 
IDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlightIDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlight
 
IDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlightIDFC Dynamic Equity Fund_Fund spotlight
IDFC Dynamic Equity Fund_Fund spotlight
 
DST
DSTDST
DST
 

More from DSP Mutual Fund

DSP World Gold Fund
DSP World Gold FundDSP World Gold Fund
DSP World Gold Fund
DSP Mutual Fund
 
DSP World Energy Fund
DSP World Energy FundDSP World Energy Fund
DSP World Energy Fund
DSP Mutual Fund
 
DSP Global Innovation Fund
DSP Global Innovation FundDSP Global Innovation Fund
DSP Global Innovation Fund
DSP Mutual Fund
 
DSP Global Allocation Fund
DSP Global Allocation FundDSP Global Allocation Fund
DSP Global Allocation Fund
DSP Mutual Fund
 
DSP US Flexible Equity Fund
DSP US Flexible Equity FundDSP US Flexible Equity Fund
DSP US Flexible Equity Fund
DSP Mutual Fund
 
DSP Equity Savings Fund
DSP Equity Savings FundDSP Equity Savings Fund
DSP Equity Savings Fund
DSP Mutual Fund
 
DSP Healthcare Fund
DSP Healthcare FundDSP Healthcare Fund
DSP Healthcare Fund
DSP Mutual Fund
 
DSP Global Innovation Fund
DSP Global Innovation FundDSP Global Innovation Fund
DSP Global Innovation Fund
DSP Mutual Fund
 
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index FundDSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
DSP Mutual Fund
 
DSP World Mining Fund
DSP World Mining FundDSP World Mining Fund
DSP World Mining Fund
DSP Mutual Fund
 
DSP World Gold Fund
DSP World Gold FundDSP World Gold Fund
DSP World Gold Fund
DSP Mutual Fund
 
DSP World Agriculture Fund
DSP World Agriculture FundDSP World Agriculture Fund
DSP World Agriculture Fund
DSP Mutual Fund
 
DSP US Flexible Equity Fund
DSP US Flexible Equity FundDSP US Flexible Equity Fund
DSP US Flexible Equity Fund
DSP Mutual Fund
 
DSP Focus Fund
DSP Focus FundDSP Focus Fund
DSP Focus Fund
DSP Mutual Fund
 
DSP Equity Oppotunities Fund
DSP Equity Oppotunities FundDSP Equity Oppotunities Fund
DSP Equity Oppotunities Fund
DSP Mutual Fund
 
DSP Equity & Bond Fund
DSP Equity & Bond FundDSP Equity & Bond Fund
DSP Equity & Bond Fund
DSP Mutual Fund
 
DSP Arbitrage Fund
DSP Arbitrage FundDSP Arbitrage Fund
DSP Arbitrage Fund
DSP Mutual Fund
 
DSP Value Fund
DSP Value FundDSP Value Fund
DSP Value Fund
DSP Mutual Fund
 
DSP India T.I.G.E.R. Fund
DSP India T.I.G.E.R. FundDSP India T.I.G.E.R. Fund
DSP India T.I.G.E.R. Fund
DSP Mutual Fund
 
DSP Nifty 50 Equal Weight Index
DSP Nifty 50 Equal Weight IndexDSP Nifty 50 Equal Weight Index
DSP Nifty 50 Equal Weight Index
DSP Mutual Fund
 

More from DSP Mutual Fund (20)

DSP World Gold Fund
DSP World Gold FundDSP World Gold Fund
DSP World Gold Fund
 
DSP World Energy Fund
DSP World Energy FundDSP World Energy Fund
DSP World Energy Fund
 
DSP Global Innovation Fund
DSP Global Innovation FundDSP Global Innovation Fund
DSP Global Innovation Fund
 
DSP Global Allocation Fund
DSP Global Allocation FundDSP Global Allocation Fund
DSP Global Allocation Fund
 
DSP US Flexible Equity Fund
DSP US Flexible Equity FundDSP US Flexible Equity Fund
DSP US Flexible Equity Fund
 
DSP Equity Savings Fund
DSP Equity Savings FundDSP Equity Savings Fund
DSP Equity Savings Fund
 
DSP Healthcare Fund
DSP Healthcare FundDSP Healthcare Fund
DSP Healthcare Fund
 
DSP Global Innovation Fund
DSP Global Innovation FundDSP Global Innovation Fund
DSP Global Innovation Fund
 
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index FundDSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
DSP CRISIL SDL Plus G-Sec Apr 2033 5050 Index Fund
 
DSP World Mining Fund
DSP World Mining FundDSP World Mining Fund
DSP World Mining Fund
 
DSP World Gold Fund
DSP World Gold FundDSP World Gold Fund
DSP World Gold Fund
 
DSP World Agriculture Fund
DSP World Agriculture FundDSP World Agriculture Fund
DSP World Agriculture Fund
 
DSP US Flexible Equity Fund
DSP US Flexible Equity FundDSP US Flexible Equity Fund
DSP US Flexible Equity Fund
 
DSP Focus Fund
DSP Focus FundDSP Focus Fund
DSP Focus Fund
 
DSP Equity Oppotunities Fund
DSP Equity Oppotunities FundDSP Equity Oppotunities Fund
DSP Equity Oppotunities Fund
 
DSP Equity & Bond Fund
DSP Equity & Bond FundDSP Equity & Bond Fund
DSP Equity & Bond Fund
 
DSP Arbitrage Fund
DSP Arbitrage FundDSP Arbitrage Fund
DSP Arbitrage Fund
 
DSP Value Fund
DSP Value FundDSP Value Fund
DSP Value Fund
 
DSP India T.I.G.E.R. Fund
DSP India T.I.G.E.R. FundDSP India T.I.G.E.R. Fund
DSP India T.I.G.E.R. Fund
 
DSP Nifty 50 Equal Weight Index
DSP Nifty 50 Equal Weight IndexDSP Nifty 50 Equal Weight Index
DSP Nifty 50 Equal Weight Index
 

Recently uploaded

Hamster kombat - A simple and effective method to withdraw mined tokens.
Hamster kombat - A simple and effective method to withdraw mined tokens.Hamster kombat - A simple and effective method to withdraw mined tokens.
Hamster kombat - A simple and effective method to withdraw mined tokens.
CRYPTO SPACE 🪙
 
how can I convert hamster kombat to other cryptocurrency - BITCOIN, USDT, BNB.
how can I convert hamster kombat to other cryptocurrency -  BITCOIN, USDT, BNB.how can I convert hamster kombat to other cryptocurrency -  BITCOIN, USDT, BNB.
how can I convert hamster kombat to other cryptocurrency - BITCOIN, USDT, BNB.
CRYPTO SPACE 🪙
 
how to sell hamster kombat tokens before mainnet launch.
how to sell hamster kombat tokens before mainnet launch.how to sell hamster kombat tokens before mainnet launch.
how to sell hamster kombat tokens before mainnet launch.
CRYPTO SPACE 🪙
 
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
CRYPTO SPACE 🪙
 
how do I sell my hamster coins on OKX exchange.
how do I sell my hamster coins on OKX exchange.how do I sell my hamster coins on OKX exchange.
how do I sell my hamster coins on OKX exchange.
CRYPTO SPACE 🪙
 
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
Ak47
 
Is it possible to sell hamster kombat tokens?
Is it possible to sell hamster kombat tokens?Is it possible to sell hamster kombat tokens?
Is it possible to sell hamster kombat tokens?
CRYPTO SPACE 🪙
 
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
maigasapphire
 
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
seenaoberoi
 
Domestic investment in pension schemes - a good thing?
Domestic investment in pension schemes - a good thing?Domestic investment in pension schemes - a good thing?
Domestic investment in pension schemes - a good thing?
Henry Tapper
 
how to sell hamster kombat tokens for USD.
how to sell hamster kombat tokens for USD.how to sell hamster kombat tokens for USD.
how to sell hamster kombat tokens for USD.
CRYPTO SPACE 🪙
 
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
seenaoberoi
 
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptxOAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
hiddenlevers
 
What website can I sell my hamster kombat tokens.
What website can I sell my hamster kombat tokens.What website can I sell my hamster kombat tokens.
What website can I sell my hamster kombat tokens.
CRYPTO SPACE 🪙
 
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
sharonblush
 
Has anyone made money from hamster kombat - the REAL truth.
Has anyone made money from hamster kombat - the REAL truth.Has anyone made money from hamster kombat - the REAL truth.
Has anyone made money from hamster kombat - the REAL truth.
CRYPTO SPACE 🪙
 
Briefing paper on Pension SuperHaven 200520 (3).pdf
Briefing paper on Pension SuperHaven 200520 (3).pdfBriefing paper on Pension SuperHaven 200520 (3).pdf
Briefing paper on Pension SuperHaven 200520 (3).pdf
Henry Tapper
 
Hamster kombat withdrawal date - what you need to know!
Hamster kombat withdrawal date - what you need to know!Hamster kombat withdrawal date - what you need to know!
Hamster kombat withdrawal date - what you need to know!
CRYPTO SPACE 🪙
 
how to sell hamster kombat tokens any where in the world?
how to sell hamster kombat tokens any where in the world?how to sell hamster kombat tokens any where in the world?
how to sell hamster kombat tokens any where in the world?
CRYPTO SPACE 🪙
 
how to successfully withdraw hamster tokens to TON - WALLET
how to successfully withdraw hamster tokens to TON - WALLEThow to successfully withdraw hamster tokens to TON - WALLET
how to successfully withdraw hamster tokens to TON - WALLET
CRYPTO SPACE 🪙
 

Recently uploaded (20)

Hamster kombat - A simple and effective method to withdraw mined tokens.
Hamster kombat - A simple and effective method to withdraw mined tokens.Hamster kombat - A simple and effective method to withdraw mined tokens.
Hamster kombat - A simple and effective method to withdraw mined tokens.
 
how can I convert hamster kombat to other cryptocurrency - BITCOIN, USDT, BNB.
how can I convert hamster kombat to other cryptocurrency -  BITCOIN, USDT, BNB.how can I convert hamster kombat to other cryptocurrency -  BITCOIN, USDT, BNB.
how can I convert hamster kombat to other cryptocurrency - BITCOIN, USDT, BNB.
 
how to sell hamster kombat tokens before mainnet launch.
how to sell hamster kombat tokens before mainnet launch.how to sell hamster kombat tokens before mainnet launch.
how to sell hamster kombat tokens before mainnet launch.
 
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
how to increase profit as an hamster Miner - earn over 100,000,000+ token's p...
 
how do I sell my hamster coins on OKX exchange.
how do I sell my hamster coins on OKX exchange.how do I sell my hamster coins on OKX exchange.
how do I sell my hamster coins on OKX exchange.
 
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
Girls Call Laxmi Nagar 9711199171 Provide Best And Top Girl Service And No1 i...
 
Is it possible to sell hamster kombat tokens?
Is it possible to sell hamster kombat tokens?Is it possible to sell hamster kombat tokens?
Is it possible to sell hamster kombat tokens?
 
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
Girls Call Marine lines 9910780858 Provide Best And Top Girl Service And No1 ...
 
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
Surat Girls Call Surat 0X0000000X Payment On Delevery Cash Hot Premium Genuin...
 
Domestic investment in pension schemes - a good thing?
Domestic investment in pension schemes - a good thing?Domestic investment in pension schemes - a good thing?
Domestic investment in pension schemes - a good thing?
 
how to sell hamster kombat tokens for USD.
how to sell hamster kombat tokens for USD.how to sell hamster kombat tokens for USD.
how to sell hamster kombat tokens for USD.
 
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
Bangalore Girls Call Bangalore 0X0000000X Payment On Delevery Cash Hot Premiu...
 
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptxOAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
OAT_RI_Ep21 WeighingTheRisks_June24_CommodityInflation.pptx
 
What website can I sell my hamster kombat tokens.
What website can I sell my hamster kombat tokens.What website can I sell my hamster kombat tokens.
What website can I sell my hamster kombat tokens.
 
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
Most Girls Call Navi Mumbai 9930245274 Provide Best And Top Girl Service And ...
 
Has anyone made money from hamster kombat - the REAL truth.
Has anyone made money from hamster kombat - the REAL truth.Has anyone made money from hamster kombat - the REAL truth.
Has anyone made money from hamster kombat - the REAL truth.
 
Briefing paper on Pension SuperHaven 200520 (3).pdf
Briefing paper on Pension SuperHaven 200520 (3).pdfBriefing paper on Pension SuperHaven 200520 (3).pdf
Briefing paper on Pension SuperHaven 200520 (3).pdf
 
Hamster kombat withdrawal date - what you need to know!
Hamster kombat withdrawal date - what you need to know!Hamster kombat withdrawal date - what you need to know!
Hamster kombat withdrawal date - what you need to know!
 
how to sell hamster kombat tokens any where in the world?
how to sell hamster kombat tokens any where in the world?how to sell hamster kombat tokens any where in the world?
how to sell hamster kombat tokens any where in the world?
 
how to successfully withdraw hamster tokens to TON - WALLET
how to successfully withdraw hamster tokens to TON - WALLEThow to successfully withdraw hamster tokens to TON - WALLET
how to successfully withdraw hamster tokens to TON - WALLET
 

DSP Quant Fund

  • 1. [Title to come] [Sub-Title to come] Strictly for Intended Recipients Only Date * DSP India Fund is the Company incorporated in Mauritius, under which ILSF is the corresponding share class November 2022 DSP Quant Fund (An open ended equity scheme investing based on a quant model theme) Portfolio Updates
  • 2. 2 DSP Quant Fund Performance (as of 31 Oct 2022) YTD 3 month 1 year Inception Fund-Dir -5.7% 3.1% -5.0% 16.0% Fund-Reg -6.3% 2.9% -5.7% 15.1% Index 5.5% 5.5% 4.2% 15.9% Risk Metrics^ Direct - G Regular - G Index Jensen's Alpha 1.1% 0.2% Beta 0.90 0.90 1.00 Standard Deviation 20% 20% 21% Information Ratio 0.01 -0.13 Sharpe Ratio 0.50 0.46 0.46 Sortino Ratio 0.56 0.51 0.52 Up capture 92% 90% Down capture 90% 92% Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index Source: MFIE-ICRA analytics, Internal; The performance numbers are total return series from 10-Jun-2019 to 31 Oct-2022 for the direct and regular growth option. Benchmark index is S&P BSE200 TRI Jensen's Alpha is a risk-adjusted performance measure of the excess returns of the portfolio above or below that predicted by the CAPM or capital asset pricing model, given the portfolio’s beta and the market returns. Beta is a measure of the volatility or systematic risk of a portfolio to that of market represented by fund’s benchmark. Standard deviation is a measure of volatility which measures how widely individual performance returns, within a performance series, are dispersed from the average or mean value. Lower standard deviation is considered to be better. Information ratio is a measure of risk adjusted return. It divides the portfolio’s excess return relative to benchmark by its tracking error vs. the benchmark. Sharpe ratio is a risk-adjusted measure calculated as the ratio of excess portfolio return over the risk free rate divided by the portfolio standard deviation. The Sharpe ratio determines return per unit of risk. Sortino ratio is a variation of the Sharpe ratio that differentiates downside volatility from total volatility. It is calculated as the ratio of excess return (portfolio return less risk free rate) to the standard deviation of negative returns (downside deviation) instead of the total standard deviation of portfolio returns. A higher Information Ratio, Sharpe Ratio and Sortino ratio is considered to be better. Up/Down capture measures annualized performance of the portfolio in up/down markets relative to the market benchmark. A ratio above 1 is considered to be better. Risk free rate (5.99% end Oct’22) is represent by overnight MIBOR rate published by FBIL Benchmark index is S&P BSE200 TRI. Returns <1 year are absolute and >1 year are compounded annualized. 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 Jun-19 Jul-19 Sep-19 Nov-19 Dec-19 Feb-20 Mar-20 May-20 Jul-20 Aug-20 Oct-20 Nov-20 Jan-21 Mar-21 Apr-21 Jun-21 Jul-21 Sep-21 Nov-21 Dec-21 Feb-22 Mar-22 May-22 Jul-22 Aug-22 Oct-22 INR Value Growth of INR 10,000 Investment at Inception Direct Regular Index ^ Risk Metrics is for the period since inception to 31 Oct 2022, in annualized term
  • 3. 3 Portfolio Details The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these sector(s)/stock(s)/issuer(s).. The portfolio of the scheme is rebalanced every quarter end. Portfolio details as on 31 Oct 2022 post the portfolio re-balance carried on in Sep end. Exits in the Sep 30, 2022 rebalance: Titan. Names in red italics refer to names added in the recent re-balance. L = Large Cap (1-100th Rank by Mkt. Cap.), M = Mid Cap (101-250th Rank by Mkt. Cap.) Name Mkt Cap % of Assets ACC M 1.9 Ambuja Cements L 2.4 Asian Paints L 2.0 Coromandel Int. M 1.4 JSW Steel L 2.0 Pidilite Industries L 1.7 UltraTech Cement L 2.0 Materials 13.4 Britannia Industries L 1.7 Colgate-Palmolive M 1.7 Dabur India L 1.7 Hindustan Unilever L 2.1 ITC L 1.8 Marico L 1.3 Nestle L 1.9 Cons. Staple 12.3 Abbott India M 0.9 Alkem Laboratories M 1.1 Cipla L 2.1 Dr. Reddy's L 1.9 IPCA Laboratories M 0.8 Torrent Pharma. L 1.6 Healthcare 8.4 Bajaj Auto L 3.5 Crompton Greaves M 2.0 Hero Motocorp L 2.6 Page Industries M 2.7 Cons. Disc 10.8 Astral M 2.0 Cummins India M 1.8 Havells India L 2.9 L&T Technology M 0.8 Larsen & Toubro L 3.4 Industrials 10.8 Name Mkt Cap % of Assets Bajaj Finance L 4.1 Bajaj Finserv L 4.1 HDFC Bank L 4.3 HDFC Life Insurance L 3.1 HDFC L 4.4 ICICI Bank L 5.2 ICICI Lombard L 2.3 ICICI Prudential L 2.0 Kotak Mahindra Bank L 3.2 Financials 32.5 Name Mkt Cap % of Assets HCL Technologies L 1.9 Infosys L 1.8 L&T Infotech L 1.5 Mphasis Limited L 1.1 TCS L 1.8 Tech Mahindra L 1.7 Wipro Limited L 1.6 IT 11.5
  • 4. 4 Relative attribution by sector (past 3 months) Source: Internal, Factset, Portfolio – DSP Quant Fund; Benchmark – S&P BSE 200 TRI; The portfolio of the scheme is rebalanced quarterly Returns presented are gross basis; Attribution data has been sourced from FactSet which uses bottom up methodology whereby constituents of both the index and the Fund are priced at the same point in time. FactSet returns do not take into account Transaction costs or Management fees. FactSet assumes trades go through at closing prices rather than the actual price that may have been traded at during the day. This data is not of audit quality but is considered useful management information i.e. it will fail to pick up the impact of transaction prices differing from daily closing prices. (Performance since the previous rebalance) 29 July 2022 to 31 October 2022 Portfolio Benchmark Relative Attribution Sector Average Weight Total Return Contrib. To Return Average Weight Total Return Contrib. To Return Allocation Effect Selection Effect Total Effect Communication Services -- -- -- 2.7 14.0 0.4 -0.2 -- -0.2 Consumer Discretionary 11.8 -2.3 -0.3 8.6 8.9 0.7 0.1 -1.3 -1.1 Consumer Staples 12.4 2.5 0.3 8.9 4.2 0.4 -0.0 -0.2 -0.2 Energy -- -- -- 10.2 2.0 0.2 0.4 -- 0.4 Financials 30.1 3.2 1.1 31.7 7.1 2.2 0.0 -1.3 -1.2 Health Care 8.2 5.8 0.5 4.7 5.4 0.3 -0.0 0.0 0.0 Industrials 10.2 6.5 0.6 6.6 11.8 0.7 0.2 -0.5 -0.3 Information Technology 13.3 -1.6 -0.3 11.9 -1.0 -0.0 -0.2 -0.1 -0.2 Materials 13.5 10.8 1.3 8.7 3.4 0.3 -0.1 1.0 0.9 Real Estate -- -- -- 0.5 -4.9 -0.0 0.1 -- 0.1 Utilities -- -- -- 5.5 8.4 0.4 -0.2 -- -0.2 Cash 0.6 -- 0.0 -- -- -- 0.0 -- 0.0 Total 100.00 3.24 3.24 100.00 5.54 5.54 -0.02 -2.28 -2.30 • Consumer discretionary stock selection was a detractor • Consumer electricals (Havells/Crompton Greaves) were impacted by weak margins in the Sep quarter due to volatility in commodity prices. The companies continue to gain market share with strong brands and diversified product portfolios, healthy marketing spends and strong distribution. Margins are expected to improve as input prices stabilize. Volume growth in rural/ entry segments remains a challenge due to inflation. • Similarly, two wheelers (Bajaj Auto/Hero Moto), despite attractive valuation metrics, underperformed peers catering to premium end bikes and cars/SUVs as volume growth in premium segment was far more robust as compared to the entry level. • Financials stock selection was a detractor • Underweight on banks – namely; PSU Banks, Axis Bank was a detractor. Banks, benefitting from a tailwind of improving net interest margins in a rising interest rate environment coupled with a benign credit environment, outperformed Insurance companies. The Fund has a material weight in Private Banks but is not overweight relative to the index. Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these sector(s)/stock(s)/issuer(s).
  • 5. 5 Relative attribution by security (past 3 months) (Performance since the previous rebalance) 29 July 2022 to 31 October 2022 Source: Factset, Portfolio – DSP Quant Fund; Benchmark – S&P BSE 200 TRI; The portfolio of the scheme is rebalanced quarterly Returns presented are gross basis; Attribution data has been sourced from FactSet which uses bottom up methodology whereby constituents of both the index and the Fund are priced at the same point in time. FactSet returns do not take into account Transaction costs or Management fees. FactSet assumes trades go through at closing prices rather than the actual price that may have been traded at during the day. This data is not of audit quality but is considered useful management information i.e. it will fail to pick up the impact of transaction prices differing from daily closing prices. Portfolio Benchmark Attribution Holding Average Weight Total Return Average Weight Total Return Total Effect Top 5 relative stock contributors 100.0 3.24 100.0 5.54 -2.30 Ambuja Cements Limited 2.9 42.2 0.3 42.2 0.9 Cipla Ltd 2.0 20.0 0.5 20.0 0.2 Titan Company Limited 1.9 10.8 1.0 17.0 0.2 Infosys Limited 2.3 0.3 5.2 0.3 0.1 Astral Limited 2.1 12.0 0.2 12.0 0.1 Bottom 5 relative stock contributors Crompton Greaves Consumer Electricals Ltd. 0.7 -12.5 0.2 -8.2 -0.4 Bajaj Auto Limited 3.3 -6.2 0.5 -6.2 -0.3 ICICI Prudential Life Insurance Co. Ltd. 2.1 -8.3 0.2 -8.3 -0.3 Havells India Limited 2.7 -2.6 0.3 -2.6 -0.3 Mphasis Limited 1.5 -14.0 0.2 -14.0 -0.3 Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. It is not possible to directly invest in index The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these sector(s)/stock(s)/issuer(s).
  • 6. 6 Performance of DSP Quant Fund v/s Individual factors - Quarterly The performance numbers are total return series from 30-Dec-2020 to 31-Oct-2022. DSP Quant Fund performance numbers are for direct plan growth option. Factor portfolios are created using factor tilting approach representing portfolios having stocks displaying high values on the respective factor. The factor portfolios are rebalanced every quarter end. Data Source: FactSet, Bloomberg, DSP Investment Managers. Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. Figures mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is rebalanced at end of every quarter. 22.6% 3.6% 7.8% 15.0% 23.8% 6.8% 8.9% 12.0% 24.2% 4.9% 7.0% 10.1% 12.6% 8.0% 7.4% 12.9% 32.2% 9.6% 10.4% 13.8% 2020 Q4 2021 Q1 2021 Q2 2021 Q3 0.2% -6.0% -12.7% 13.1% -0.8% 0.3% -9.2% 10.9% -0.4% -2.1% -9.3% 8.0% -1.2% -0.5% -6.9% 7.4% -0.2% 1.7% -8.4% 10.7% 2021 Q4 2022 Q1 2022 Q2 2022 Q3 DSP Quant Fund S&P BSE 200 TRI Quality Growth Value Recent two quarters continued to see relative outperformance of Value factor, a trend that has persisted for most of the past two years.
  • 7. 7 Performance of DSP Quant Fund v/s Individual factors (annualized, since inception) Combining multiple factors instead of using single factors is expected to provide diversification benefits The performance numbers are total return series from 10-Jun-2019 to 31-Oct-2022, depicted in annualized terms. DSP Quant Fund performance numbers are for direct plan growth option. Factor portfolios are created using factor tilting approach representing portfolios having stocks displaying high values on the respective factor. The factor portfolios are rebalanced every quarter end. Data Source: FactSet, Bloomberg, DSP Investment Managers. Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. Figures mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. The portfolio of the scheme is rebalanced at end of every quarter. 14.8% 11.9% 19.8% 16.4% 16.4% 0% 5% 10% 15% 20% 25% Quality Factor Growth Factor Value Factor Quant Fund S&P BSE 200 TRI QUANT FUND V/S INDIVIDUAL FACTORS (10th Jun 2019 – 31th Oct 2022)
  • 8. 8 Performance of DSP Quant Fund v/s Eliminated buckets Highlights the importance of the ELIMINATION STAGE in the overall investment process Decomposing the performance of stock baskets on the basis of each elimination criteria Majority of the baskets highlighted by the elimination criteria DETRACTED VALUE from the index performance The performance numbers are total return series from 10-Jun- 2019 to 31-Oct-2022 for DSP Quant Fund Direct plan growth option. Eliminated basket portfolios are created using cap weighted methodology for the Eliminated Baskets. Data Source: FactSet, Bloomberg, DSP Investment Managers.. Last quarter saw outperformance of the eliminated baskets relative to the index Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. It is not possible to invest directly in an index. Figures mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is rebalanced at end of quarter. 12.0% 10.8% 28.4% 10.3% 16.4% 16.4% 0% 5% 10% 15% 20% 25% 30% Forensic analysis RED Flags High Beta High Leverage Public Sector Undertakings Quant Fund S&P BSE 200 TRI QUANT FUND V/S ELIMINATED BASKETS (10th JUN 2019 – 31st OCT 2022) 6.4% 6.5% 10.7% 8.7% 3.1% 5.5% 0% 2% 4% 6% 8% 10% 12% QUANT FUND V/S ELIMINATED BASKETS (29th JUL 2022 – 31st OCT 2022)
  • 9. 9 Performance of DSP Quant Fund v/s Composite eliminated basket Alpha generated via the elimination process Composite eliminated basket DETRACTED SUBSTANTIAL VALUE from Index performance Highlights the importance of the ELIMINATION STAGE in the overall investment process The performance numbers are total return series from 10-Jun-2019 to 31-Oct-2022 for DSP Quant Fund Direct plan growth option. Performance is in annualized terms for periods greater than 1 year and in absolute terms for periods of less than 1 year. Eliminated basket portfolios are created using cap weighted methodology for the Eliminated Baskets. Data Source: FactSet, Bloomberg, DSP Investment Managers. Eliminated baskets materially outperformed the index in the past quarter Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. Refer Scheme information document for detailed investment strategy. It is not possible to invest directly in an index. Figures mentioned for performance of the Factors of the Quant Model do not in any manner indicate the returns/performance of the scheme. the portfolio of the scheme is rebalanced at end of quarter. 16.4% 16.4% 10.5% 0% 10% 20% QUANT FUND S&P BSE 200 TRI COMPOSITE ELIMINATED BASKET QUANT FUND V/S ELIMINATED BASKETS (Inception to 31st Oct 2022) 3.1% 5.5% 6.5% 0% 2% 4% 6% 8% QUANT FUND V/S ELIMINATED BASKETS (29th JUL 2022 – 31st OCT 2022 )
  • 10. 10 Calendar year returns 2022 = YTD as of 31 Oct 2022. Source: MFIE-ICRA Analytics and FactSet. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. Figures mentioned for performance of the Quant Model do not in any manner indicate the returns/performance of the scheme. Refer to Annexure 1 and 2 for performance in SEBI prescribed format and of other schemes managed by same Fund Manager.
  • 12. 12 Investment Process ELIMINATE STOCKS from the S&P BSE 200 Index SELECT GOOD COMPANIES from the above shortlist ASSIGN WEIGHTS to create the final portfolio 200 stock universe ~ 100 stocks 30 – 50 stocks Exclude stocks which may destroy value × High debt × Excessive volatility in stock prices × Inefficient capital allocators × Poor quality of reported earnings Select final list by ranking stocks based on average scores for: ✅ Quality ✅ Growth ✅ Value Weights assigned to manage risks  Single Stock exposure limits  Single Sector exposure limits  Exposure limits based on stock liquidity Model converts sound investing principles into a RULES BASED investment process BASED ON A QUANT MODEL REVIEW & REBALANCE every quarter
  • 13. 13 Stage 1 : Criteria used for elimination Difficulty to service interest payments Raises risk of defaults which further tightens liquidity In case of defaults, creditors get preference over equity holders × High DEBT TO EQUITY (applicable to all sectors ex financials) HIGHLY LEVERAGED COMPANIES × High BETA HIGHLY VOLATILE STOCKS NON-ALIGMENT OF MANAGEMENT INCENTIVES POOR QUALITY OF REPORTED EARNINGS × High PRICE VOLATILITY Typically highly cyclical businesses Disproportionately high stock price volatility on a relative & absolute basis Potential red flag Haven’t added value to equity holders over the long term × Ownership Criteria Shareholder wealth creation is not a primary goal Business decisions maybe driven by other considerations Minority shareholders get sub-optimal returns × LOW reliability of earnings × WEAK balance sheets × POOR cash conversion × Potential governance issues Accounting & Management issues can lead to severe value destruction Forensic analysis of financials disclosures can throw up potential red flags Extensive criteria to identify and eliminate potential value destroyers from the investible universe
  • 14. 14 Details of Forensic Analysis PARAMETERS CONSIDERED IN THE FORENSIC OVERLAY REPORTED EARNINGS QUALITY BALANCE SHEET HEALTH WORKING CAPITAL CYCLE ANALYSIS FOR FINANCIALS : ALM, ASSET QUALITY ETC. MANAGEMENT ACTIONS Large divergence in accounting v/s cash flow entries suggest aggressive accounting policies Examples: Divergence in × EBITDA (earnings before interest, taxes, depreciation and amortization ) v/s Cash Flow from Operations × Interest entry in Cash Flow Statement v/s P&L Statement × Annual depreciation rates Badly managed balance sheets at higher risk of financial distress Examples: Weak metrics on × Interest coverage ratio × Debt/Equity market capitalization × Credit rating Cash flow conversion & liquidity issues are early signs of business problems Example: Variability and deterioration in × Debtor days, inventory days and creditor days Aggressive growth -> Asset quality issues-> Solvency risk High short term funding -> Liquidity risk Examples: × High NPA(Non Performing Assets) growth × High Short term debt to total debt × Provisioning cover Imprudent management actions can destroy minority shareholder value Examples: × High promoter pledge × High related party transactions × High loans and advances Forensic analysis is a critical part of the elimination process EBITDA –Earnings before Interest, Taxes, Depreciation and Amortization , NPA-Non Performing Assets, ALM-Asset Liability Management
  • 15. 15 Stage 2 : Selection process EVALUATING FACTORS Determine core investment principles also known as Factors* Select metrics for each factor, rank each company on every factor and arrive at an average factor score Select companies with the highest average factor scores SELECTION PROCESS FLOW ~ 100 STOCKS (remaining after the elimination stage) 30 – 50 STOCKS (final portfolio selection) Showing a history of generating alpha Used to arrive at factors which are quantifiable And ideally have low correlation with each other Help to construct a diversified portfolio Which is constantly reviewed for adherence to the core principles Core investment principles Factors convert core investment principles into easily measurable metrics Factors have historically been principal drivers of alpha *Based on research, established in back-tests
  • 16. 16 Stage 2 : Selection of good companies (with) GOOD PROSPECTS (at a) GOOD PRICE (a) GOOD COMPANY QUALITY FACTOR ✔ High RETURN ON EQUITY ✔ CONSISTENT Earnings growth Profitable and well run companies Steady earnings streams Receive a premium in the market GROWTH FACTOR ✔ High EARNINGS GROWTH (consensus estimates) Strong growth prospects Attract investor interest VALUE FACTOR ✔ Attractive DIVIDEND YIELD ✔ High FREE CASH FLOW YIELD Relatively inexpensive stocks compared to the market Potential to generate excess returns during phases of value discovery Receive a premium in the market EVALUATING COMPANIES ACROSS MULTIPLE FACTORS Using a multi-factor approach to assess companies in a holistic manner
  • 17. 17 Stage 3 : Optimization process Optimized weights for each selected stock Maximize portfolio factor exposure Stock level constraints Sector level constraints Quarterly rebalancing LOWER OF 10% OR 10X OF WEIGHT IN S&P BSE 200 INDEX (avoid concentration, ensure liquidity/capacity) MAX SECTOR ACTIVE WEIGHT = 10% (avoids risk of sector rotation) MAXIMIZE PORTFOLIO FACTOR SCORE (weighted average factor score) QUARTERLY REBALANCING (to minimize turnover) ASSIGN WEIGHTS TO 30 – 50 SELECTED STOCKS AND CREATE FINAL PORTFOLIO Optimization done with the objective of creating a diversified portfolio
  • 18. 18 Risk Management embedded into the Quant model  No sector concentration (sector weights not more than 10% of the benchmark weight)  No stock concentration (stock weights capped at 10% and stock active weights also capped)  Stocks with limited/low liquidity assigned weights of no more than 1% (measured through days taken to liquidate the position using average market volumes)  Avoiding stocks with high leverage, forensic red flags, high price volatility – highly volatile stocks  Avoiding stocks that show weakening growth, profits and margins – disrupted business models  Valuation risk managed through relative ranking approach that automatically penalizes companies which do not pay dividend or do not generate meaningful free cash flows  Relative ranking model avoids loss making companies Disclaimer : The above indicates the strategy/investment approach currently followed by the Scheme(s) and the same may change in future depending on market conditions and other factors.
  • 19. 19 Risks of investing in the Scheme  The Quant model may go through periods of underperformance and there is no guarantee that the backtested results will be achieved  The scheme invests in equities and is subject to general risks associated with investments in equity markets such as price risk, liquidity risk
  • 20. 20 Annexure 1 – Performance of DSP Quant Fund in SEBI prescribed format Performance details provided herein are of regular plan growth option as of 31 Oct 2022
  • 21. 21 Annexure 1 – Performance of DSP Quant Fund in SEBI prescribed format Performance details provided herein are of direct plan growth option as of 31 Oct 2022
  • 22. 22 Annexure 2 – Performance of schemes managed by same Fund Managers Performance details provided herein are of regular plan growth option as of 31 Oct 2022
  • 23. 23 Annexure 2 – Performance of schemes managed by same Fund Managers Performance details provided herein are of regular plan growth option as of 31 Oct 2022
  • 24. 24 Annexure 2 – Performance of schemes managed by same Fund Managers Appointment of Fund Manager is effective from May 1, 2022. Performance details provided herein are of regular plan growth option as of 31 Oct 2022
  • 25. 25 Annexure 2 – Performance of schemes managed by same Fund Managers Appointment of Fund Manager is effective from May 1, 2022. Performance details provided herein are of regular plan growth option as of 31 Oct 2022
  • 26. 26 Product labelling details Fund Product Suitability Scheme Riskometer Benchmark Riskometer S&P BSE 200 TRI DSP Quant Fund (An open ended equity scheme investing based on a quant model theme) This open ended equity scheme is suitable for investors who are seeking* Long term capital growth Investment in active portfolio of stocks screened, selected, weighed and rebalanced on the basis of a predefined fundamental factor model * Investors should consult their financial advisers if in doubt about whether the Scheme is suitable for them.
  • 27. 27 Disclaimer In this material DSP Investment Managers Private Limited (the AMC) has used information that is publicly available, including information developed in-house. Information gathered and used in this material is believed to be from reliable sources. The AMC however does not warrant the accuracy, reasonableness and / or completeness of any information. The data/statistics are given to explain general market trends in the securities market, it should not be construed as any research report/research recommendation. We have included statements / opinions / recommendations in this document, which contain words, or phrases such as “will”, “expect”, “should”, “believe” and similar expressions or variations of such expressions that are “forward looking statements”. Actual results may differ materially from those suggested by the forward looking statements due to risk or uncertainties associated with our expectations with respect to, but not limited to, exposure to market risks, general economic and political conditions in India and other countries globally, which have an impact on our services and / or investments, the monetary and interest policies of India, inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices etc. The sector(s)/stock(s)/issuer(s) mentioned in this presentation do not constitute any research report/recommendation of the same and may or may not have any future position in these sector(s)/stock(s)/issuer(s). The portfolio of the scheme is subject to changes within the provisions of the Scheme Information document of the scheme. There is no assurance of any returns/potential/capital protection/capital guarantee to the investors in this Scheme. Past performance may or may not sustain in future and should not be used as a basis for comparison with other investments. This document indicates the investment strategy/approach/framework currently followed by the Scheme and the same may change in future depending on market conditions and other factors. All figures and other data given in this document are as on 31 Oct 2022 (unless otherwise specified) and the same may or may not be relevant in future and the same should not be considered as solicitation/ recommendation/guarantee of future investments by the AMC or its affiliates. Investors are advised to consult their own legal, tax and financial advisors to determine possible tax, legal and other financial implication or consequence of subscribing to the units of schemes of DSP Mutual Fund. For complete details on investment objective, investment strategy, asset allocation, scheme specific risk factors please refer the scheme information document and key information memorandum of the scheme, which are available at AMC and registrar offices and investor service centres/AMC website- www.dspim.com. Mutual Fund investments are subject to market risks, read all scheme related documents carefully.