Download Products ESQUIRE CAPITAL INVESTMENT ADVISORS LLP

ESQUIRE CAPITAL
INVESTMENT ADVISORS
LLP
SEBI Approved Investment Advisors
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Our Overview & Strategy
Overview
•
Our investment process is based on a balanced approach to quantitative and
qualitative research and analysis techniques to assess and select the underlying
stock.
•
Create portfolios that can achieve consistent absolute and relative
performances, irrespective of where we are in the market cycle. Focus is to
generate substantial alpha over fixed income returns.
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Our Overview & Strategy
Strategy
•
Employ a wide variety of techniques to arrive at an investment decision,
including both quantitative and fundamental techniques.
•
Invests in stocks that are believed to be undervalued or poised to outperform
market.
•
Invest in securities of companies of any size capitalization, style or sector.
•
Derivatives may be used for purposes of hedging, speculation or to allow us to
implement investment ideas more efficiently and yield extra return over and
above portfolio return.
•
We have developed proprietary algorithms that indicate excellent entry and
exit points.
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Products
Large Cap Absolute Returns
•
For Investors with low / medium risk taking abilities
•
Investment and on Positional Trading bets on large cap stocks
•
Small allocation to well researched mid-cap stocks
•
Portfolio Hedging through derivatives in overbought markets or during event
risks
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Products
 Large Cap Equity Absolute Returns
 Leveraged Long / Short Absolute
Returns
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Large Cap Absolute Returns Portfolio – Investment Process
CIO / FUND MANAGER
Capital allocation is fixed
75-80 % Large Cap
10-15 % Mid Cap
10-15 % Cash
Fundamental Research
Utilizing extensive fundamental and proprietary analysis
Best ideas only
Technical analysis
Company meetings and due diligence
18-20 Stocks
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Large Cap Absolute Returns Portfolio – Investment Strategy
Positional
Trades
F&O
Hedging /
Incremental
Returns
Large
Cap
Portfolio –
aims to
generate 2025% absolute
return p.a.
Event
Driven
Generate
Alpha
MidSmall
Cap
Short term
Trade
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Risk Management
•
Target capital preservation by understanding, recognising and controlling risks
with:
•
Stop loss limits put in place and exercised with discipline; and
•
Active exposure management / hedging practices.
•
Takes an active risk management approach to dynamically adjust the individual
position exposure, and the overall portfolio exposure, based on quantitative
and qualitative analysis.
•
Positions have defined investment parameters and risk limits, which are then
monitored on an ongoing basis such as –
•
Sector Exposure – 15 - 20% of AUM Capital
•
Stock Exposure – 8 - 10% of AUM Capital
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Fees & Charges
•
Fees & Charges to be paid on a quarterly basis –
1. Option 1 – Profit sharing - 20 % of all booked profit.
2. Option 2 – Management Fees of 1.5% on AUM plus 10% over Hurdle
rate of 15% return.
•
Minimum investment amount – Rs. 20 Lacs
Process
•
Opening A/C’s with specified brokers
•
Granting of Power of Attorney to execute traders
•
Client A/C will remain under the control of Client
•
Fees will be levied on a quarterly basis
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Fund Management Team Members
Samrat Dasgupta –
Samrat is a 1995 Alumnus of IIM Ahmedabad. He joined Citi in 1995 and
worked in various positions in Capital Markets, Global Transaction Services,
Securities Services, Wealth Management and Equity Sales. Prior to setting up
his own firm in 2011, he headed Equity Sales at Citi Global Markets and was
on the Board of directors. He has been managing proprietary funds for the
past few years specializing in mid cap picks and large cap derivative trades.
Dinesh Gupta –
Dinesh has over 9 years of experience in equity research. He holds a
Bachelor’s Degree in Commerce from University of Mumbai and Master in
Financial Management with Economics from Middlesex University, London UK.
Prior to joining Esquire Capital he was working with Sirius Advisors as a Fund
Manager for 3 years and 6 years with Marshal Funds – an India dedicated hedge
fund, where he was part of the investment team that oversaw an equity &
private equity portfolio of approximately $100 million.
Bhoopendra Chavan –
Bhoopendra Chavan holds a BMS degree from Mumbai University and is a
qualified technical analyst.
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Opportunity in Indian Market
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Reforms undertaken by the Government
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Current trend on recovery trajectory
India is moving from a vicious to a virtuous economic cycle
Economic
Indicators
Reforms
Business
sentiment
improvement
Investment
Recovery
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Economic Indicators
Indicator
November
2012
November
2013
Now
WPI (%)
7.2
7.5
5.69
CPI (%)
9.9
11.6
1.26
CAD as a % of GDP
-4.7
-1.7
-1.4
Fiscal Deficit as a % of GDP
4.9
4.6
4.5
Oil Prices ($/bbl)
110
112
140
G-Sec Yield (%)
8.22
8.74
7.74
Credit Growth (%)
14
14
11.5
GDP (%) – Old
4.6
5.2
1.9
--
7.5
7.3
-1.01
-1.3
-1.3
GDP (%) – Rebased
Index of Industrial Production
Source: Bloomberg, Trading Economics; CAD – Current Account Deficit; GDP – Gross Domestic Product; WPI – Wholesale Price Index;
CPI – Consumer Price Index;
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Investment Recovery
Signs of Capex Revival
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Business sentiment improvement
The purchasing managers' index (PMI), has been above 50 (denoting expansion),
which was initially driven by manufacturing activities, however now the services
index is the driving factor.
Source: Trading Economics
ESQUIRE CAPITAL INVESTMENT ADVISORS LLP
SEBI REGISTRATION NUMBER – INA000003577
Positional Trading Strategy
•
We use our proprietary tools for trading, it has given 80% success ratio in
picking up the stocks.
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Basic positional call idea - Buy at bottom & sell at high.
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Our proprietary indicators allow us to detect tops and bottoms of ranges
consistently. Hence in range bound markets we tend to outperform long only
Mutual Funds and PMS providers.
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Our recent trade examples are given in Appendix 1.