BAY Capital India Leaders Fund

The main objective of Bay Capital India Leaders Fund Category – III AIF is to generate capital appreciation over longer duration by investing in select businesses in a concentrated manner.

The investment philosophy of Bay Capital India Leaders Fund Category – III AIF is to invest into companies/businesses which are capital efficient, generating positive cash flows, having a strong brand, distribution, technology driven, higher market share and having a competitive advantage in the respective industry. Also, one of the important parameter in the initial filtration process, the company should have been generating a ROCE of 20% + on an average for the past 10 years, generating positive operating cash flows, earnings growth, high corporate governance standards and scalability of business. The fund follows a bottom-up stock picking approach.

The strategy of Bay Capital India Leaders Fund Category – III AIF revolves around a disciplined long-only approach focused on a concentrated equity portfolio. It favours buy-and-hold, active engagement, and management.

The team meticulously curates a concentrated portfolio of 20 to 30 names, selecting the best available stocks with a rigorous analysis for their fundamentals, growth potential, and competitive strengths with moats. This strategy is underpinned by their unwavering commitment to quality over quantity, with a limited number of high-conviction investments.

By embracing a concentrated approach utilizing in-depth fundamental research capabilities and capitalizing on their highest-conviction investment ideas, the fund seeks to deliver superior risk-adjusted returns. The investment philosophy is rooted in a long-term perspective, allowing them to ride out market volatility purely because of the quality of the portfolio and extract maximum value from their select holdings.