Achintya Commodities Pvt Ltd

INDIA – A HOUSE UNDER RENOVATION

• The disposable income in the hands of an average Indian stands too low at this juncture, As soon as it crosses the amount needed for basic survival, the self sustainable demand in the country will be enough to make India grow at these unbelievable high rates for long periods of time.
• This will push the emergence and development of many macro and micro markets such as infrastructure, transportation, education, health and wellness etc.
• With so many decisive mandates in state as well as central elections, fragmentation is an old norm in India, it has been in very few cases that coalition governance has been approved by the general public, which enables decisiveness, stability and accountability to develop in the coming future.

IS INVESTING IN STOCKS A GOOD IDEA?

• With so many investment avenues around us ranging from bank deposits to real estate, precious metals to precious stones, art to antiques, the money we save for our future finds it very difficult to find the right place to get in.
• But can the inherent capacity to earn of these assets increase overtime?
• WE cannot PREDICT but we can PREPARE.
• Only due to the basic nature of the increasing earning capacity over time it is so that businesses prove to the best avenue for investment over long periods of time.
• The percentage of household savings that goes into equity is still far below the global averages and is destined to rise in the coming times.

THE PORTFOLIO MANAGER’S EDGE

• Know what you own, and why you own it – Peter Lynch At Achintya, our team follows in depth analysis and deep research to develop an understanding for a business before taking a call to accept or reject the opportunity. We follow the idea regularly so that we are able to fine tune our folios adjusting to the dynamic market conditions. Remember, things are never clear until it’s too late.
• Very few people have gotten rich on their seventh best idea – Warren Buffet Our Portfolio Management Services at Achintya enable the clients to build concentrated portfolios with few positions (generally below 20) so that the businesses we invest in are only the ones we find wonderful. Remember, the more you diversify, the more average you are.
• There are 3 ingredients for success – aggresiveness, timing & skill – and if you have enough aggresiveness at the right time, you don’t need that much skill – Howard Marks Being associated with us at Achintya in the journey of compounding helps you to navigate through testing times when some key decisions are needed to be taken which can be life changing for your portfolio.

THE ACHINTYA ADVANTAGE

• The stock market is a device for transferring money from the impatient to the patient We firmly believe that the stock exchange makes money from your activity but we will make money out of our inactivity ,if we commit to an investment we do not believe in doing activity regularly in our portfolios for the heck of it. We take investment and redemption decisions only after completing proper research and decision making process. That still is not the guarantee of getting the best price, but it helps us making a wise decision.
• Learn everyday, but especially from the experiences of others. its cheaper! We at Achintya constantly connect with the investor community and keep visiting plants, AGMs, investor summits and also try to comprehend all useful information so that we can get a near sense of where in the valuation spectrum we lie currently.
• A bad system will beat a good person everytime Achintya will meticulously take care of all the records need to be kept regarding your portfolio and all the details of the functioning of your portfolio will be regularly shared with you for review for better understanding as we trod on this long path of wealth creation. Remember 90% of the wealth Buffet built was built in the last decade.

THESIS BASED INVESTMENT STRATEGY

• Our belief is that for steering through the complex financial markets, one needs to SMILE (Taking Informed decisions), BREATHE (Taking risks you can afford) AND GROW(Use the magical power of compounding) simultaneously.
• At Achintya, we are going to break the conventional rule of balancing portfolios plainly based on sectors and Market Capitalization. Rather we follow bottom-up approach to find companies which have decent financial muscle to steer along tough times and then diversify on the basis of thesis/investment strategy involved in selection of the stock. These thesis are the various return generating patterns that keep developing in the markets from time to time.
• Not only this, our research team keeps developing new thesis which can enable us to identify various avenues for investment in the markets.

RISK MITIGATION

However to balance risks and proper management of client Folios we have kept the following benchmarks for ourselves to ensure proper management of clients funds :

• Not More than 15% of the folio in a single sector at the point of investment.
• Not more than 50% in a single sector post realization of gains.
• Not more than 10% in a single stock at the time of investment.
• Keeping reasonable amount of cash in the portfolio for liquidity and also use of the same for gaining from corporate event arbitrage from time to time.

• Minimum Investment : Rs.50 Lacs
• Mode of payment : By Fund Transfer/Cheque and /or stock transfer.
• Investment horizon : Medium to Long Term (3 Years +)