Now Reading: Abhay Agarwal’s PMS turns Rs 1 cr into Rs 7.6 cr
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Abhay Agarwal’s PMS turns Rs 1 cr into Rs 7.6 cr
Abhay Agarwal, founder and fund manager of Piper Serica, has delivered a 19.4% compounded annual growth rate (CAGR) since inception of his Portfolio Management Service (PMS). A Rs 1 crore investment at…
Abhay Agarwal, founder and fund manager of Piper Serica, has delivered a 19.4% compounded annual growth rate (CAGR) since inception of his Portfolio Management Service (PMS). A Rs 1 crore investment at launch would have grown to Rs 7.6 crore, outperforming the Nifty 50 TRI by 8.8% annually.
Agarwal discussed the fund's investment philosophy, recent portfolio changes and key risks in the current market. He also addressed what investors should evaluate before opting for a PMS, including the importance of aligning with a manager's style and the risks of concentrated bets.
The conversation covered growth investing, stock selection and navigating Indian markets. Agarwal emphasised discipline and a long-term horizon as critical to beating benchmarks.
Indian Opinion Analysis
The outperformance Agarwal reports comes as SEBI-regulated PMS providers manage over Rs 30 lakh crore collectively, with most failing to beat their benchmarks over five years, according to a 2023 SEBI study. Piper Serica's concentrated portfolio of 15-20 stocks amplifies both upside and downside risk. The 19.4% CAGR is unaudited and reflects a short track record for the fund. Investors should compare it against the category average PMS return, which SEBI data shows has lagged the Nifty 50 in recent years. The next key signal is whether Piper Serica can sustain this alpha as AUM grows and liquidity constraints tighten.
SEBI mandates PMS managers to disclose performance only with a disclaimer that past returns do not guarantee future performance.
Source: businesstoday.in
This brief was synthesised by AI from the source linked above.
