investment strategy: I wouldn’t call myself bearish, I’m just not bullish at the moment – Siddharth Vora

“In the dynamic multi-asset portfolio, which is our quantification-based asset allocation PMS, we are more overweight gold, liquid and short-duration bonds than equities themselves,” he says. Siddhartha VoraFund Manager and Head Quant Investment Strategies – PMS, Prabhudas Lilladher.

How do you approach this market, what is your investment strategy?
Currently, the way we’ve been building our portfolio and navigating this cycle is focusing a little more on growth visibility and relatively decent valuations, but on companies with extremely high quality or no compromise on quality, but making sure that the visibility of short-term growth and valuations is not going to come to bite us going forward.

I think we are looking at a relief rally or a pullback rally and the US markets have also stabilized quite a bit over the last couple of days and the Indian markets will also react similarly for a very short period at least. That is, from an equity perspective and in terms of the asset allocation strategy that we are running, we have been underweight equities for quite some time. We are at 42%; We will take it down probably to 35-36% if we cross 17,500 levels and that is the way we are currently positioned.

Let me put it this way, you are bearish on the market. If you have 60% cash and plan to take it to 65%m, do you fear markets going down?
We’re not sitting at 60% cash. in the multiactive

which is our quantity-based asset allocation PMS, we are more overweight gold, liquid and short duration bonds than equities themselves. The way we look at that portfolio is like through a construction of meters. Each of the gauges is not giving a very healthy signal, so I wouldn’t call myself bearish, I’m just not bullish at the moment. That’s a better way to interpret it.

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