원문 보기
Congratulations. This is Tejas from Trendline, and in this video we take a look at the portfolios of three star investors who follow different investment strategies. We will also look at which ones have made a profit over the past few quarters and which ones have not. Our focus is on the portfolios of three star investors: Rakesh Jhunkhunwala, Sunil Singhania, and Ashish Kacholia.
After markets hit new highs in 2021, they cooled significantly. Some global markets are currently in a bearish trend, meaning a 20% drop from peak values. Technology stocks, which were trading at sky-high valuations, also suffered significant losses in 2022. So let's take a look at how this volatile market has affected the portfolios of star investors and what sectors they have been betting on recently.
Let's start with the " big bull"—Rakesh Jhunkhunwala. This slide presents an overview of the portfolio of Junkhunwala and his partners. The priority sector here is banking and finance. The portfolio has declined by 12% since the fourth quarter of fiscal 2022, and its total public asset value is less than Rs 30,000 crore as of June 8.
In the fourth quarter of fiscal year 2022, its main acquisitions were made in the banking and finance sector. Overall, a comparative table for the last five quarters shows that in the third quarter of fiscal year 2022, the portfolio of Junkhunwala and partners was replenished with two new assets: Metro Brands and Star Health and Allied Insurance Company.
So, both of these companies, which went public in December 2021, were among his four largest assets. As for the other two companies, Titan and Tata Motors, the investor increased his stake in them in fiscal 2022. The banking and financial sector accounts for about 35% of its portfolio, while textiles, clothing and accessories, mainly jewelry and precious stones, account for 33%.
Jhunkhunwala is the promoter of Star Health and Allied Insurance Company. With that in mind, these stellar investments are quite heavily concentrated at the top of the list. About 75% of his public portfolio is made up of five stocks: Titan, Star Health and Allied Insurance Company, Metro Brands, Tata Motors and Crisil.
It is important to note that Jhunkhunwala intends to remain a long-term investor in Star Health and Allied Insurance Company. Since he is classified here as a promoter. And its flagship asset, Titan, has significantly underperformed both its sector and the Nifty 50 index. The stock has fallen about 17% in the past 90 days, driven by the company's weak results.
Furthermore, all of its major acquisitions are also performing below average in their sectors. So, as a result of all this, as leading stocks and biggest buys underperformed , the value of its public portfolio fell by over 12% in March 2022 to Rs 29,029 crore as of June 8. A. Jhunjhunwala reduced his stakes in Escorts, TV18 and Wockhardt.
This seems like a good decision, considering the fact that all three stocks have fallen 13–36% in the last 90 days. He also sold a minor stake of 0.05% in Aptech, where he is a promoter and currently holds 23.35% of the total stake. So, looking at his latest purchases in Q4 FY22 , two out of three purchases were from a sector he favors.
This is the banking and financial sector. He also increased his stake in pharmaceutical company Jubilant Pharmova. Most of his bets fall into the mid- and large- cap category. Additionally, he also reduced his stakes in Titan and Crisil, which are also among his top five assets. Now let's look at another star investor with a different investment strategy.
Sunil Singhania has a more diversified portfolio compared to Rakesh Jhunjhunwala. He invests through his company called Abacus Asset Management, which I will refer to as the Abacus Fund from now on . Sunil Singhania's Abacus Fund is trying to diversify its portfolio by moving away from its core assets in fiscal 2022.
All four of its core assets showed declines as of Q4 FY2022. This comes at a time when technology stocks are in a downtrend. Mastek and Route Mobile are two of the Abacus fund's main assets. And this star investor, through his fund, reduced his stake in both of these IT companies in fiscal year 2022.
Although the Abacus fund reduced its exposure to technology stocks in fiscal 2022, this sector remains the most prioritized, as 31% of total assets are IT stocks. Abacus's five largest stakes account for about 53% of the total public portfolio. The fund's sectoral strengths are software and services, as well as metals and mining.
He also has stakes in several consumer durables stocks . The largest assets of the Abakkus fund are concentrated in the IT sector, these are Mastek and Route Mobile . And Jindal Stainless Hisar, which is the third largest component of Abakkus' assets, has lost about 37% of its value in the last 90 days.
The other two companies included in Abakkus' top five bets are Polyplex Corporation and Acrysil. So, this significant fall in Jindal Stainless Hisar's share value of around 37%, coupled with the decline in IT stocks, has led to a 22% fall in its portfolio since Q4 FY22 to Rs 2,772 crore as on June 8, 2022.
All of Abakkus' top bets in Q4 FY22 are in the small cap sector. The fund increased its stake in Rupa and Company by 1.14% in Q4 2022 fiscal year, bringing it to 3.2%. However, the company's shares have fallen more than 12% in the last 90 days. So, looking at recent acquisitions, it seems that Singhania is focusing more on the manufacturing sector, mainly industrial equipment and packaging companies.
Sunil Singhania did not add any technology stocks to the Abakkus portfolio, despite technology being his favorite sector. In fact, in Q4 of fiscal year 2022, he sold a minor stake in Route Mobile. It also reduced its stake in Paras Defense and Space Technologies from 1.5% to less than 1% in Q4 FY22.
Among its main sales are companies in the metallurgical and mining industries, general industry, and media. A few of the companies listed for sale include Surya Roshni, AGI Greenpac, Jindal Stainless Steel and Saregama India. Now let's look at the changes in the assets of our third star investor, Ashish Kacholia.
This slide gives an overview of his portfolio, which is quite diversified. So, let's get to the point. As can be seen from this comparative chart, this star investor also reduced his stakes in IT companies in fiscal 2022. Like Sunil Singhania, Kacholia also prefers investments in the software and services sector.
However, it reduced its stake in two of its main assets, which operate in the software and services segment. This is Mastek and NIIT, in fiscal year 2022. VRL Logistics is a new position in the top 4 assets, as Kacholia acquired about 1.4% of the company's shares in Q2 of fiscal 2022. Ashish Kacholia's investments are more diversified compared to the previous two investors.
His top five assets account for only about 35% of his entire portfolio. Like Singhania, Kacholia's favorite sector is also IT, followed by general industry and ultimately pharmaceuticals. Kacholia's publicly available investments focus primarily on mid- and small- cap companies. In fact, all of its recent acquisitions in Q4 FY2022 are small- cap stocks.
So the top four purchases in Q4 FY22 were new additions to his portfolio. These are Creative Newtech, Fineotex Chemicals, Stovekraft and Gravita India. His top buy in Q4 was a small- cap company in the software and services sector called Creative Newtech. He purchased 2.8% of the shares of this IT company.
However, these stocks have lost about 11.2% over the last 90 days as the IT sector has significantly lagged behind the benchmark index. Among Kacholia's major sales in Q4 FY22 were Vishnu Chemicals, Somany Home Innovation, Mold-Tek Packaging, and others. So, this super investor's portfolio contains Mastek and NIIT as his two top bets.
Other companies in its top five holdings include Shaily Engineering Plastics, VRL Logistics and Vishnu Chemicals. While shares of VRL and Vishnu Chemicals have risen in the last 90 days, Mastek and Shaily Engineering have fallen. With two of his three top positions trading in the red and Creative Newtech shares down 12% in the last 90 days, Kacholia's portfolio has shrunk by 18% since the fourth quarter of fiscal 2022 to Rs 1,587 crore as of June 8.
So, to sum up, the net asset value of all three super investors fell by 12–22% as of June 8 compared to the fourth quarter of fiscal 2022. While Jhunjhunwala continues to focus on the banking and finance sector, Singhania's Abacus fund and Kacholia are diversifying investments away from the software and services segment.
Both of these super investors focus on small- cap companies, especially in the manufacturing segment , such as the container and packaging industries. So, this was an analysis of the portfolios of three super investors with different investing styles. Despite their investment acumen, all of their portfolios suffered during the recent market sell-off.
You can find these and many other super investor portfolios at trendline.com. Tejas was with you, goodbye.
Comments 0