ICICI-Direct has stated that its indicative large cap equity model portfolio (“Quality-20”) has continued to deliver an impressive return (inclusive of dividends) of 84% since its inception (June 21, 2011) vis-à-vis the index return of ~57% during the same period, an outperformance of ~27%. This validates the thesis of selecting companies with sound business fundamentals that form the core theme of our portfolio. Its midcap portfolio (“Consistent-15”) outperformed the benchmark by ~1.6x since June 2011. The consistent outperformance demonstrates our superior stock picking ability as markets in H1CY15 aligned to its view of favourable risk-reward, good franchisee vs. reward-at-any-risk businesses.
ICICI-Direct has always suggested the SIP mode of investment and still finds a lot of merit in it as the preferred mode of deployment given the market conditions and volatility associated since the inception of the portfolio. It has outperformed other portfolios, thus, reinforcing our belief in a plan of investment. However, now it is also advising clients to look at lump sum investments at any possible dips
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