There are over 150 listed companies in India with market capitalizations of over Rs. 3000 Crs.

Conventional wisdom on the street suggests that this universe of large companies which includes the NIFTY is well researched and therefore the potential to seek superior returns is limited.

However, time and again, it has been proven that while these companies are well researched they are not as well understood/ For example, our internal study shows that over the last 8 years, each year almost 30% of the companies in the NIFTY deliver substantially higher returns than the benchmark.

Daffodil Bouquet will identify the winners from this universe.

We now propose to further classify our strategy as

- Long Term Orientation - Equities, as an asset class, provides significant long term rewards - but inherent to equities are short term risks that investors have to wait out with patience to fully realize the long term rewards.

- Preset Controls - Under this strategy, we will put in place additional checks and balances for client portfolios based on individual stocks and overall positions. This sub classification within the overall strategy (for both concentrated and diversified portfolios) will be implemented for such clients who elect for this.

Proposed Preset Controls:

- Response to downward price correction of an individual stock. Should an individual stock price at closing fall more than 20% from cut off date, then Alchemy Capital Management would sell that stock on the next trading day. In the current market conditions, this control will be limited to liquid stocks only as thin volumes on illiquid counters will not provide an opportunity to exit.

- Response to increase in a stock weight within the overall portfolio. Each portfolio would have a pre set threshold. Should the weight in the stock go beyond that threshold, then the excess would be sold to bring the weight back to pre set limits. Actual weights v/s targets would be reviewed monthly .