Marcellus Curation

Marcellus Curation is a flexi-cap equity PMS from Marcellus Investment Managers that holds 15–30 high-quality, well-managed Indian companies across sectors and market capitalisations, selected through forensic accounting, capital-allocation analysis and deep fundamental research.

India's investment landscape is constantly changing. New businesses emerge, established companies evolve, and leadership can shift from one sector to another over time. For a long-term investor, that raises an interesting question: how do you build an equity portfolio that can adapt to these changes without compromising on business quality?

What Is Marcellus Curation PMS?

Marcellus Curation is a flexi-cap equity PMS strategy designed to invest across different sectors and market-cap segments. Its stated objective is to preserve the purchasing power of the client's capital while providing sustainable returns over long periods of time, by identifying high-quality, well-managed Indian companies positioned to deliver healthy growth.

One of the defining characteristics of the portfolio is its flexibility. Rather than restricting itself to large-cap, mid-cap or small-cap companies, Curation can move across market-cap segments depending on where the investment team finds attractive businesses. This lets the portfolio combine the growth potential of smaller businesses with the relative stability that larger, established companies can provide.

The strategy generally holds 15–30 stocks, selected from a broader investable universe built through a multi-layered research process. Marcellus's disclosure document provides for at least 70% in equity, with up to 30% in money market instruments, liquid funds or bank balance.

The philosophy is not simply to find companies that are growing quickly. Instead, the focus is on understanding why a business is able to grow, how management allocates capital and whether its competitive advantages can last. This makes Curation a quality-focused PMS approach rather than a portfolio built around a particular sector or short-term market theme.

Marcellus Curation Snapshot: Key Facts and Figures

Sources: Marcellus website and disclosure document (April 2026); APMI. AUM is a dated figure and changes with market movements, inflows, outflows and portfolio activity. Terms may vary by PMS arrangement, so review the latest documents before investing.

Marcellus Curation Investment Strategy: How the Flexi-Cap Approach Works

Curation is built on the idea that quality businesses can create value over long periods when they are well managed and have lasting competitive advantages. The strategy therefore does not begin with a fixed sector allocation. It starts with the broader listed universe and narrows the opportunity set through a rigorous research process.

The portfolio can invest across:

• Large-cap companies
• Mid-cap companies
• Smaller companies
• Multiple sectors and industries

This flexibility can be useful when market leadership changes. A period of strong economic expansion may create opportunities in smaller businesses, while market uncertainty may increase the appeal of established companies with stronger balance sheets and more predictable cash flows. The portfolio is designed to adapt rather than stay tied to one market-cap category.

Curation's process also emphasises identifying undervalued quality businesses. The aim is not merely to buy a good company, but to assess whether the current valuation offers an attractive opportunity relative to the business's long-term potential.

The final portfolio typically holds 15–30 companies, creating a concentrated portfolio in which individual investment decisions can have a meaningful effect on returns.

How Marcellus Selects Stocks for Curation: The Three-Stage Research Process

The quality focus of Marcellus Curation rests on a three-stage research framework.

1. Clean Accounting and Forensic Filtering

The first step is to identify potential accounting and governance concerns. The investment team uses an in-house forensic accounting framework to screen companies in the listed universe and flag potential red flags.

The purpose is straightforward: before asking whether a company can compound capital, it is important to establish whether its financial statements give a reliable picture of the underlying business. This can help eliminate businesses whose reported performance may not reflect their real economics.

2. Capital Allocation Assessment

Once a company clears the accounting filter, the next question is how management has used shareholder capital. Capital allocation can make a significant difference to long-term wealth creation.

A business may generate strong cash flows, but if that capital is repeatedly deployed into low-return projects, poorly structured acquisitions or businesses without a lasting competitive advantage, shareholder value can suffer. Curation therefore excludes companies with inconsistent or imprudent capital-allocation decisions.

3. Competitive Advantage and Deep-Dive Research

The final stage is deeper research into businesses that have passed the first two filters, focusing on the drivers of their competitive advantages. This includes questions such as:

• What protects the business from competitors?
• Does it have pricing power?
• Can its competitive advantage strengthen as it grows?
• How effectively can management reinvest capital?
• Are there new growth opportunities within its existing business?
• Could innovation or disruption materially change its industry position?

This bottom-up research creates the investable universe from which the Curation portfolio is built.

Marcellus Curation Portfolio Characteristics

The Curation portfolio is deliberately flexible across market capitalisations. It can include larger companies that provide relative stability alongside smaller businesses earlier in their growth journey. This creates a balance between two different opportunities:

• Larger companies can offer established competitive advantages, stronger balance sheets and more predictable business models.
• Smaller companies can offer longer growth runways and the potential to become much larger businesses over time.

Sector diversification is a natural outcome of this approach. The portfolio is not designed around a fixed sector allocation; companies are selected on business quality, valuation and long-term prospects.

At the same time, flexibility does not mean unlimited diversification. With about 15–30 holdings, Curation remains a concentrated equity portfolio, which can increase the impact of both successful and unsuccessful investment decisions.

Marcellus Curation vs Marcellus Curation I: What's the Difference?

Marcellus Curation and Marcellus Curation I are separate PMS strategies with their own portfolios, allocation limits and terms.

Source: Marcellus disclosure document (April 2026); APMI.

Marcellus Curation Fees, Minimum Investment and Fee Models

Marcellus Curation offers a fixed-only fee of 2.50% a year (regular) or 2% (direct), or a hybrid fee of 1.50% or 1.25% fixed plus a 15% performance fee above a 10% hurdle. The minimum investment is ₹50 lakh.

Source: Marcellus website. A high-water mark applies to performance fees.

Curation currently has zero entry load, zero exit load and no lock-in.

Investors should still review the complete fee schedule and applicable expenses before investing. Brokerage, custody, taxes, fund accounting and other portfolio-related expenses may apply separately. To understand portfolio management services costs properly, look at both the management fee and the overall cost of maintaining the PMS account.

Marcellus Curation Returns and Performance vs BSE 500 TRI

The table below compares Marcellus Curation with the BSE 500 TRI from one month to since inception (25 August 2020), as on 31 August 2026, using APMI data.

[Performance module – APMI, as on 31 Aug 2026]

Investors comparing strategies should understand how PMS returns are calculated and whether a figure is gross or net of fees and expenses. You can compare PMS performance across strategies on ALTPORT.

Past performance is not indicative of future results. There is no assurance that Curation will achieve its investment objective or outperform its benchmark.

Who Should Consider Marcellus Curation?

Curation may be relevant for investors who:

• Want professionally managed exposure to Indian equities
• Prefer a quality-focused investment philosophy
• Are comfortable with equity-market volatility
• Want a flexi-cap portfolio rather than exposure limited to one market-cap segment
• Have a long-term investment horizon
• Can meet the ₹50 lakh minimum investment
• Understand the risks of concentrated equity portfolios
• Are looking to complement their existing equity investments

The strategy may be particularly relevant for HNI and UHNI investors who want a professionally managed portfolio that can move between large, mid and smaller companies as opportunities evolve. However, a strategy's quality should always be considered in the context of the investor's own objectives.

What Are the Risks of Marcellus Curation?

A flexible investment mandate can create opportunities, but it does not eliminate risk.

Equity Market Risk

Curation primarily invests in equities. Stock prices can fall because of economic conditions, interest rates, earnings disappointments, geopolitical developments, regulatory changes or shifts in investor sentiment.

Concentration Risk

A portfolio of 15–30 stocks is much more concentrated than a broad-market index. If a major holding underperforms, the impact on the portfolio can be meaningful.

Valuation Risk

A high-quality company can still deliver disappointing returns if bought at an excessively high valuation. Changes in valuation multiples can affect returns even when the underlying business continues to perform well.

Market-Cap Allocation Risk

Because Curation can invest across large, mid and smaller companies, its risk profile can change with portfolio positioning. Greater exposure to smaller companies can increase volatility and liquidity risk, while a tilt towards larger companies may behave differently during strong mid- or small-cap cycles.

Business and Governance Risk

No research framework can eliminate business risk. Competitive advantages can weaken, management decisions can change and industries can be disrupted. A company that meets the investment criteria today may not continue to do so indefinitely.

Strategy and Style Risk

A quality-focused strategy may underperform when lower-quality, cyclical or highly speculative businesses outperform. Investors need to be comfortable with periods of relative underperformance.

How to Invest in Marcellus Curation through ALTPORT

At ALTPORT, we believe choosing a PMS should begin with understanding the investment philosophy and how it fits into the investor's overall portfolio.

For investors evaluating Marcellus Curation, we look at the strategy from several angles: its flexi-cap mandate, portfolio construction, quality filters, fees, historical performance, risks and liquidity characteristics.

Onboarding generally involves completing KYC and documentation, reviewing the PMS agreement and disclosures, and completing the investment process subject to eligibility. ALTPORT is an APMI-registered distributor (APRN00074). A PMS allocation should be considered alongside your existing equity, debt and alternative investments, not in isolation.