ASK Domestic Resurgence Portfolio

Factsheet - Mar 2023

Public
P

Investment Approach Objective: To build a portfolio of around 25 businesses representing quality and superior long-term compounding
Potential.

Top 10 Holdings (%) ASK DRP Movement Since Inception

APL APOLLO TUBES LTD 6.5

ASK DRP BSE 500
CHOLAMANDALAM INVESTMENT AND 20
6.4
FINANCE CO. LTD
VARUN BEVERAGES LTD 6.1
17
14

NAV
RADICO KHAITAN LTD 5.9
11
BAJAJ FINANCE LTD 5.6
8
BAJAJ FINSERV LTD 5.4 5

Nov-19

Nov-20

Nov-21

Nov-22
Sep-19

Jan-20

Sep-20

Sep-21

Sep-22
Jan-19

May-19

Jan-21

Jan-22

Jan-23
May-20

May-21

May-22
Mar-19

Mar-20

Mar-21
Jul-19

Jul-20

Jul-21

Mar-22

Mar-23
Jul-22
PATANJALI FOODS LIMITED 5.2

POLYCAB INDIA LTD 5.1

AU SMALL FINANCE BANK LTD 4.9 Rs. 1 Cr invested in ASK DRP in Jun 2018 is now worth
DALMIA BHARAT LTD 4.5 Rs. 1.5 Crs v/s Rs. 1.6 Crs in S&P BSE 500

Top Sector Weights (%) ASK DRP Portfolio Performance (%)

NBFC 12.0
ASK DRP BSE 500 Nifty
FMCG 11.3 30.0 27.8
26.4
23.0
Banks 9.0
20.0
Insurance 8.7
9.6 10.1 10.6
10.0
Oil & Gas 7.8 1.6
Retail 7.8 -
-1.2 1Y -0.6
-4.13M -4.1 6M
-2.0
3Y SI
Consumer durables 6.8 -10.0 -2.3
-5.9
-7.4
Pipes 6.5

ASK DRP Portfolio Metrics Market Cap Classification (%)

Total Assets under Management & 805 Small Cap

Advisory in Rs. Crs. 9.4
Mid Cap
Weighted Average Market Cap in Rs. Crs.
2,06,539 34.4
Large Cap
Median Market Cap in Rs. Crs. 56,474 56.0

ASK DRP Update

In Mar 2023, the portfolio underperformed its benchmark BSE500 which registered +0.3%. In consumer space, Varun Beverages, Titan, Patanjali and
KEI Industries increased by 7%/6%/5%/5% respectively while Berger Paints, Page Industries, Pidilite and Radico Khaitan increased by 0-3% in last 1
month. Polycab experienced more than 5% decline in last 1 month. In Financial services space, ICICI Bank and Cholamandalam increased by
3%/1% respectively while AU Bank and SBI Life declined by 1-2% in last 1 month. Bajaj Finance and Bajaj Finserv experienced more than 5%
decline in last 1 month. Among the other names, Dalmia Bharat and Navin Fluorine increased by 7%/3% respectively while Reliance Industries, APL
Apollo and Bharti were largely stable in last 1 month. Dixon and Infosys declined by 1-4% each while Gujarat Gas declined by more than 5% in last 1
month.

Going forward all eyes will be on the ensuing Q4FY23 result season wherein we expect Operating Profit growth to be driven by normalization in
margins while volume growth may continue to remain tepid. As we look forward to FY24, the expectation is that higher capital expenditure outlay in
the budget coupled with recovery in rural should translate to volume growth from the domestic segment. While export growth continues to remain
sluggish owing to expectation of slowdown in growth as most central banks continue to focus on taming inflation, we expect demand to pick up
initially by restocking of the supply chains, however, revival in exports may be more back ended. We are invested in high quality businesses which
are likely to come out stronger post crisis and, therefore, medium to long term growth prospects remain largely unchanged for our portfolio
companies.

Note: Inception Date of ASK DRP is 21-Jun-2018. Performance figures are net of all fees and expenses.ASK Portfolio returns are composite returns of all the Portfolios aligned to
the investment approach as on Mar 31, 2023. Returns for individual client may differ depending on time of entry in the Portfolio. Past performance may or may not be sustained in
future and should not be used as basis for comparison with other investments. Returns for 1 year or lesser time horizon are absolute returns, while more than 1 year are CAGR.
Returns have been calculated using Time Weighted Rate of Return method (TWRR) as prescribed by the SEBI.

Source: Closing Price as sourced from Bloomberg. Returns for 1 year or less time period are absolute returns, while more than 1 year are CAGR. Market Cap is Acc to AMFI
Classification which happens half yearly. Classification as on Dec 22.
ASK Domestic Resurgence Portfolio
Factsheet – Mar 2023
Public

Key Investment Approach Objectives & Attributes Investment Approach Research Methodology & Filtration

Top 500 as per market capitalization

• Size of pond vs • High quality of
size of fish business 500 Subjective evaluation on management
• Dominance • (Superior RoCE)
500 quality, their integrity, vision, past track
record, execution, capital allocations and
• Resilience • Strong moat, distribution skills, corporate governance
Impregnability
• Liquidity 325 306 standards etc.
• Sustainability
306
• Key pivot of strong Businesses focused on domestic
wealth creation consumption with less than 20% export
270 210 contribution

210
Business with ROCE over 25% and Earning
Growth above 15%
94
• Quantum • Favorable
Price-Value Gap 123
• Consistency 5
• Margin of safety
20-25
20-25 Quality of Business (Capital Efficiency) -
• Durability Minimum ROCE of 25%

• Predating (Early vs Later) *Note:

1. Maximum of 25% of the portfolio may be an exception to the <20% export contribution criteria
• Compounding power 2. Maximum of 20% of the portfolio may be an exception to either of ROCE or Earnings Growth
criteria.
At the time of 1st purchase of the stock

Risk Parameters (Since inception) ASK DRP Portfolio Cos Average Performance
over last 5 years (CAGR) as on FY22
Parameter ASK DRP S&P BSE 500
Sales OP PBT ROCE* PAT

Beta 0.89 N.A. 18% 20% 25% 32% 23%

Standard Deviation 19.3% 19.1% *For Banking & Financial companies, we have not considered ROCE, but have
considered ROE for the above analysis. ROCE is only for FY22

Key Terms

Portfolio Name ASK Domestic Resurgence Portfolio

Platform / Structure PMS
Benchmark S&P BSE 500
Portfolio Managers Mr. Kuldeep Gangwar (Primary Portfolio Manager) & Mr. Bhavesh Kanani (Co-Portfolio Manager)
Minimum Initial Investment Amount Rs. 50 Lakhs
Minimum Add-on Investment Amount Rs. 5 Lakhs
Exit Charges Nil
Fees1 Fixed Management Fees: 2.50% p.a.
Investments will be made in a staggered manner as per the instructions provided by the client.
Systematic Transfer Plan (STP)2
Fees as per the respective strategy (ASK Liquid / ASK Equity) will be charged for the invested amount.

Notes:
• 1In addition to the Management Fees, there are Recurring Expenses including Custody Fee, Account Opening Charges, Audit Fees, etc. to be payable at actuals. All
fees and expenses will be subject to applicable taxes. For more details, kindly refer the Fee Schedule.

• 2Kindly refer to the STP Application Form for the detailed terms and conditions.

• Exit Charges are calculated on each tranche of inflow (initial or additional). Redemption amount is arrived at after calculation and charging of all Fees and Expenses.

Disclaimers: Any information contained in this material shall not be deemed to constitute an advice, an offer to sell/purchase or as an invitation or solicitation to do for
security of any entity and further ASK Investment Managers Limited (ASKIM) and its employees/directors shall not be liable for any loss, damage, liability whatsoever for any
direct or indirect loss arising from the use of this information. Recipients of this information should exercise due care and caution and read the Disclosure Document (if
necessary obtaining the advice of finance/other professionals) prior to taking any decision on the basis of this information which is available on
https://www.askfinancials.com/ask-investment-managers/disclosure.
ASK Investment Managers Limited (Registration No: INP00000043) has not independently verified all the information and opinions given in this material. Accordingly,
no representative or warranty, express or implied, is made as to the accuracy, completeness or fairness of the information and opinions contained in this material. ASKIM
has launched direct onboarding facility. This facility shall enable users / visitors to have direct access to ASK IM PMS Investment approaches. These products are also
available through existing Distributor/Referral or Channel Partners. The performance related information provided herein is not verified by SEBI nor has SEBI certified the
accuracy or adequacy of the same.