Implications of global repricing of risk
We have put together a brief note explaining implications of global repricing of risk.
Read MoreWhy not sell if we are concerned that Small and Microcaps are overvalued
We have put together a brief note explaining why we are not selling despite our concerns around over valuation in Small and Microcaps.
Read MoreOur approach to building Solidarity
Enclosed note discusses our approach to building the firm.
Read MoreA perspective on churn
We have put together a brief note to explain our perspective on portfolio churn.
Read MoreWhy have we continued to buy Star Health
Star Health has corrected significantly since our first purchase.
Enclosed is a note that explains why we have continued to buy Star at lower prices.
Why do we never go down the risk curve in Financials to chase cheap valuations
Silicon Valley Bank in the US has collapsed. SVB imploded as 3 risks collided
- Side effects of excessive money printing came to the fore –> steep increase in the US yield curve as long term interest rates rose from 1.5% to >5% in about 15 months
- Highly concentrated depositor base which withdrew large sums quickly
- Huge Asset Liability mismatch –> short term deposits were parked in long term Assets (akin to what happened with our Real Estate NBFCs). Hence, SKB was forced to sell long term assets and book losses when faced with withdrawals at the wrong time, which eroded its Capital base and created momentum for a run on deposits (vicious cycle).
An article that explained what happened is enclosed.
Read MoreInvestment thesis on Kama Holdings
We have put together a brief note to explain our thought process underlying this investment
Read MoreInvestment thesis on MAN Industries
Dear Partners,
We have put together a brief note to explain our thought process underlying this investment
Read MorePerspective on Life Insurance companies post-budget
Dear Partners,
We have put together a brief note that summarizes our thoughts and how we intend to act.
Read MoreINVESTMENT THESIS ON NEOGEN CHEMICALS
Neogen is the only company which we continue to purchase even at valuations > 50x TTM PE.
We make exceptions only when a company is at a very early stage of the growth cycle, where there are visible opportunities/triggers for high growth longevity, and we are investing in top decile promoters.
Enclosed is a brief note to explain our thought process underlying this investment.