Prudent Equity, a Gurugram-based wealth management firm, has launched its maiden growth strategy Portfolio Management Service (PMS) with a minimum investment requirement of Rs 50 lakh. This new fund employs a bottom-up value investing strategy, targeting mispriced opportunities while prioritizing capital protection. Designed for investors seeking long-term capital appreciation over a period of 36 to 60 months, the fund aims to outperform the S&P BSE 500 benchmark. The launch of this fund marks a significant milestone for Prudent Equity as it continues to expand its suite of investment solutions.
Strategic Investment Approach
Prudent Equity’s new fund leverages a bottom-up value investing approach to capture mispriced opportunities in the market. This strategy focuses on identifying undervalued stocks with strong growth potential, ensuring capital protection for investors. The fund’s active, long-only flexi-cap approach allows it to adapt to changing market conditions and capture a broad spectrum of opportunities. By integrating growth, value, and momentum strategies, the fund aims to deliver returns that significantly surpass the benchmark.
The fund’s minimum investment requirement of Rs 50 lakh makes it accessible to high-net-worth individuals (HNWIs) and ultra-high-net-worth individuals (UHNWIs). Prudent Equity aims to achieve Rs 250 crore in assets under management (AUM) for the Growth Strategy PMS Fund by the end of 2025. This ambitious target reflects the firm’s confidence in its investment approach and its commitment to delivering exceptional returns for its investors.
Commitment to Transparency and Risk Management
Prudent Equity places a strong emphasis on transparency and rigorous risk management. The firm’s existing ACE fund has recently delivered a remarkable 75% return over the past 12 months, compared to 37% for the benchmark. This impressive performance highlights the effectiveness of Prudent Equity’s investment strategies and its ability to navigate market volatility.
The new Growth Strategy PMS Fund will adhere to the same principles of transparency and risk management. Prudent Equity’s founder and CIO, Siddharth Oberoi, emphasized the importance of maintaining a client-centric approach and consistently meeting investor needs. The firm’s commitment to transparency and risk management will be key drivers in achieving meaningful returns for its investors.
Expanding Investment Solutions
The launch of the Growth Strategy PMS Fund enhances Prudent Equity’s suite of investment solutions, offering tailored portfolios that align with each investor’s unique objectives. Since its inception in 2012, Prudent Equity has focused on serving family offices, HNWIs, and retail investors by providing actionable advice on their equity investments. The firm’s client-centric approach has been demonstrated by the strong performance of its Alternative Investment Fund (AIF) launched in 2022.
Prudent Equity’s new fund is designed to meet the needs of a diverse range of investors, offering a solution for medium- to long-term investment goals. The firm’s focus on delivering exceptional services and consistently meeting investor needs aligns with its broader mission of helping clients achieve their financial objectives. The new fund is expected to attract significant interest from investors seeking long-term capital appreciation and robust risk management.
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