If you are not registered blogger on Valueoperations then you will be not able to read this exclusive content. If you are registered blogger than you just need to login with your username and password. If you want to register then click here and then login, you just need email address to register on the blog.

This was straight 6 months in a row where Indian stock market has given abnormal returns. Yes, abnormal returns! Indian stock market indices by average had given returns in range of 1.50% – 1.75%. Anything below or above those returns are considered abnormal.

On top of this our portfolios had also given abnormal returns and have beaten market returns by big margin. Please find below what our portfolios had given returns:

  % returns Margin
NSE 500 2.72%
Portfolio 1 3.39% 0.67%
Portfolio 2 4.70% 1.98%
Portfolio 3 3.41% 0.69%

 

All the three portfolios had not only beaten the market returns but also had beaten with healthy margins, especially Portfolio 2.

Please find details of all the three portfolios below:

Portfolio 1

Name Quantity Purchase Price Current Price Total money invested Current position Standing
Axis Bank 511 INR 391.10 INR 596.85 INR 199,852.10 INR 304,990.35 52.61%
JK Bank 2985 INR 67.00 INR 70.35 INR 199,995.00 INR 209,994.75 5.00%
Castrol 533 INR 375.00 INR 447.05 INR 199,875.00 INR 238,277.65 19.21%
TCS 90 INR 2,226.60 INR 2,511.30 INR 200,394.00 INR 226,017.00 12.79%
coal India 660 INR 302.85 INR 333.50 INR 199,881.00 INR 220,110.00 10.12%
cash INR 33,941.25
Total INR 999,997.10 INR 1,233,331.00 23.33%
NSE 500 INR 5,833.40 INR 7,489.05 28.38%

 

Portfolio 2

Name Quantity Purchase Price Current Price Total money invested Current position Standing
Axis Bank 442 INR 420.68 INR 596.85 INR 185,940.56 INR 263,807.70 41.88%
JK Bank 3603 INR 66.80 INR 70.35 INR 240,680.40 INR 253,471.05 5.31%
Indiabulls housing 316 INR 686.44 INR 819.20 INR 216,915.04 INR 258,867.20 19.34%
TCS 91 INR 2,311.29 INR 2,511.30 INR 210,327.39 INR 228,528.30 8.65%
coal India 737 INR 305.32 INR 333.50 INR 225,020.84 INR 245,789.50 9.23%
cash INR 4,182.05
Total INR 999,997.10 INR 1,254,645.80 25.46%
NSE 500 INR 5,833.40 INR 7,489.05 28.38%

 

Portfolio 3

Name Quantity Purchase Price Current Price Total money invested Current Position Standing
Axis Bank 430 INR 417.06 INR 596.85 INR 179,335.80 INR 256,645.50 43.11%
Indiabulls housing Finance 307 INR 686.26 INR 819.20 INR 210,681.82 INR 251,494.40 19.37%
Coal India 717 INR 304.73 INR 333.50 INR 218,491.41 INR 239,119.50 9.44%
TCS 89 INR 2,302.37 INR 2,511.30 INR 204,910.93 INR 223,505.70 9.07%
cash INR 238,343.85
Total INR 999,997.10 INR 1,209,108.95 20.91%
NSE 500 INR 5,833.40 INR 7,489.05 28.38%

 

Those returns were achieved in the period of last 7 months, and other than rebalancing the portfolio we did not buy/sell any stock. We bought all these businesses with intention to hold it for long time.

Also with these three portfolios, we are sharing three different re-balance strategies. You can decide which one suits to your condition.

Portfolio 1 will be re-balanced on yearly basis, Portfolio 2 will be every quarter and Portfolio 3 will be every month. In our opinion for retail investors yearly re-balancing strategy is the best strategy. And for the professionals like us, monthly re-balancing strategy is the best.

So, which portfolio and what strategy you are following?

We like all the three portfolios, but as a professional investor we prefer Portfolio 3 strategy. Where they only invest when they see any opportunity. Giving returns of almost 21%, where almost 20% of the portfolio is sitting on cash is desirable spot.

Portfolio 3 will be re-balanced today where we are looking to sell few shares of Axis Bank and Indiabulls Housing and buy Coal India and TCS shares. We are also looking a company to invest with our surplus cash, if you know any and want to share with us then feel free to leave your comment below.

If you are new blogger on this website and are interested to know a bit of history about all the three portfolios then click here to get more information. You can also visit to our monthly archives and find out information about these portfolios from last seven months.

Aziz Dodhiya is the chief investment officer for the Valueoperations funds which operates in the Indian market as an FPI (Foreign Portfolio Investor). We do not offer any personal advice to buy or sell any stocks and the views that are shared by Aziz might not incline to your personal investment strategy and this is the reason we advise you to take professional advice before going ahead with our views.