Launched in 2005, it showed promise the very next year, followed by great performance. It trounced the competition in 2007 and restricted its fall in 2008.
Its calls have worked in favour, mostly. In 2007, it was metals that clinched the deal for the fund. In 2008, it was it's conservative stance of cash and debt allocations, bets on the Nifty, derivatives exposure and an overall largecap equity tilt. Come 2009, the fund slipped in rankings because it continued to be cautious. In the initial leg of the 2009 rally (March to May), it delivered 63 per cent (category average = 78 per cent).
But the fund does not change its strategy abruptly. Right now, the portfolio gives the impression of being conservative and large-cap tilted, and rightly so. But it might change.
While the portfolio may sport a totally different look months down the road, what you can be sure of is that its bets are valuation driven. By default, this fund shows up as a contrarian compared to the peer group. Right now, its exposure to construction is zero, while exposure to engineering is lower than that of his peers. It has been tactical with engineering, reducing and increasing weightage over time. As for construction, the fund believes a high interest rate environment is not positive for this sector.
The largest fund in the category, it has alarge-cap orientation and dabbles in every sector, barring FMCG, media, infotech and pharma.