PGIM INDIA PHOENIX PMS

Fund Snapshot

Investment Philosophy

Here’s the Investment Philosophy PGIM India PMS believes in:

• Often, when the general market does not expect a stock to perform well in the short-term is it available for a low price. As a result, if an investor wants to beat the market, can buy the stock at value. If one is confident in a company’s quality and long-term earnings prospects, short-term price volatility should be less relevant.
• The Investment team at PGIM India PMS believes that the real danger in the stock market for an investor is the risk of permanent loss. Owing to the fact that all stocks are subject to market volatility, temporary losses are inevitable. When an investment is made in a substandard enterprise, a company with dubious management, or at an exorbitantly high price, it results in a permanent loss. As the legendary Seth Klarman puts it, “the avoidance of defeat is the most important thing you can do.”

Investment Process –

The investment approach is anchored in a rigorous and well-defined research process. It begins with India’s broad universe of nearly 6,000 listed companies, which is systematically narrowed down to a focused investment universe of around 160–180 businesses. Through stringent qualitative and quantitative filters, this is further refined into a high-conviction portfolio of 20–25 companies.

Key evaluation parameters include valuation discipline, long-term growth potential, and the quality and integrity of management. The process is complemented by a clearly defined sell discipline, ensuring timely exits once an investment has realized its full potential or no longer meets the original thesis. This structured approach helps maintain focus, discipline, and consistency in portfolio construction and returns.