ASK Indian Entrepreneur (IEP)

Portfolio of large and growing companies with promotors significant skin in the game

Key Attributes

Inception Date: 25 January 2010

Number of Stocks: 19

Fund Manager Name: Mr Sumit Jain

Fund Manager Experience: Total Exp – 12 Years, With ASK – 11 Years

Fund Manager Qualification: Post Graduate in Management from Mumbai University.

Investment Objective

The concept invests in Indian entrepreneurs with adequate ‘Skin in the Game’ who have demonstrated high standards of governance, vision, execution, wisdom, capital allocation, and capital distribution skills. They run businesses that are amongst the highest long-term earnings growth.

Portfolio Strategy

1) Identify large and growing business opportunities with competitive advantage that are significant sized (min Rs. 100cr of PBT)

2) The quality of the business should be good to be able to fund strong growth through internal cash generation . So, it looks for 20% compounded growth from each business and targets over 25% growth from the portfolio

3) To fund this growth, the business ROCE should be over 25% so that growth can be funded and there are surpluses for dividend

4) The management should have the drive and have skin in the game to deliver compounded growth period after period (uncompromised corporate governance is a must). Hence, invest into businesses with an identifiable business house at helm with minimum 25% stake.

5) We seek to identify such businesses at reasonable discount to value and stay invested for a length of time and make money as EPS compounds

Investment Philosophy

ASK’s Advantage“Investing”, as Buffett says, “is simple but not easy”. It is the implementation of the simple things consistently and with discipline during all market conditions, that requires character, which makes all the critical difference. Core advantage lies in the disciplined and consistent execution of these ‘simple’ things and doing them well.Core philosophy at ASK Investment Managers revolves around two key aspects:

  1. First achieve capital protection (over time) and
  2. Follow it with capital appreciation.

Overarching Investing Philosophy and Principles

• Greater certainty of earnings v/s. mere quantum of earnings growth
• Superior and consistent quality of earnings v/s. mere quantum of earnings growth
• High quality at a reasonable price v/s. inferior quality at an arithmetically ‘cheap’ price

Don’t Just Invest. Make an Informed Decision.