Motilal Oswal Asset Management Company Limited - Portfolio Managers
S&P BSE 500 TRI
Equity
29/08/2024
10 Months
5000000
NA
Stocks will be selected on Hockey-Stick Return (HSR) investment strategy. Based on the section titled â??Hockey Stick Returns: The Power of Economic Profitâ?? of the Motilal Oswal 28th Annual Wealth Creation Study, Hockey-Stick returns refers to a sharp and sustained rise in the price of a stock. This leads to a hockey-stick formation of the price chart, translating into handsome returns for the stockholders. One key metric for identifying such stocks is through Economic Profit Power Curve. Economic Profit is defined as the product of Net Worth multiplied by spread between Return of Equity (RoE) and Cost of Equity (CoE). Significant market-beating performance happens when companies move up the Economic Profit Power Curve Quintiles. One significant observation is that on average, almost all market-beating returns happen when companies end up in Quintiles 1 and 2, no matter what the starting Quintile is. The conclusive and actionable observation is that it pays to start from Quintiles 2 and 3. Any up move will lead to high returns. The strategy aims to identify such stocks in the portfolio.
Work Exp. 10.00 years
Email ID vaibhav.agrawal@motilaloswal.com
Mobile No 2271934919
Details NA
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