Stallion Asset Core Fund

What Is the Stallion Asset Core Fund?

The Stallion Asset Core Fund is an open-ended, discretionary equity Portfolio Management Service (PMS) that follows a growth-oriented, multi-cap investment strategy. Managed by Stallion Asset Private Limited, it seeks to identify established and emerging market leaders with the potential for sustained earnings growth.

The strategy's inception date is 22 October 2018, and its benchmark is the S&P BSE 500 TRI. Its investment approach combines the 4 M's framework—Market Leadership, Market Opportunity, Management and Margin of Safety—with a portfolio management process known as Buy & Rotate.

The Core Fund can invest across market capitalisations and sectors. Rather than holding a static group of companies indefinitely, the approach seeks to identify businesses that can lead during different market cycles and adjust portfolio positions as investment opportunities evolve.

Stallion Asset Core Fund is intended for investors who can accept equity-market volatility and have a multi-year investment horizon. Its stated investment horizon is at least three years, although the appropriate holding period depends on individual circumstances and market conditions.

Stallion Asset Core Fund Snapshot and Key Terms

AUM note: The ₹9,547.04 crore figure is the reported AUM for the Stallion Asset Core Fund investment approach as of 31 August 2026. It should not be confused with the total AUM of the investment manager across all its activities.

For other strategies available through ALTPORT, see other PMS strategies available through ALTPORT.

What Is the Investment Objective of the Stallion Asset Core Fund?

The Stallion Asset Core Fund aims to provide a structure through which capital preservation and growth can be pursued using professional portfolio management. Its investment process focuses on companies with strong competitive positions, substantial market opportunities and the potential for sustained earnings expansion.

The fund manager looks for businesses that may emerge as leaders in their respective industries or retain leadership as market conditions change. The approach places particular emphasis on the scale and duration of a company's growth opportunity, the quality of its management and how effectively it allocates capital.

The strategy's investment horizon is at least three years. This reflects the time that may be needed for a company's business performance and earnings trajectory to develop, although the portfolio can hold investments for shorter or longer periods depending on market conditions and the investment thesis.

The objective is not a guarantee of capital preservation or positive returns. Equity prices can decline, and investors may experience losses even when the underlying businesses have sound long-term prospects.

How Does the Stallion Asset Core Fund Select Stocks?

The Stallion Asset Core Fund follows a growth-investing approach that looks for businesses capable of expanding earnings over time. The investment team assesses whether a company has a defensible position in its market, enough room to grow, management that can execute its plans and a valuation that leaves an acceptable margin for uncertainty.

The strategy's stated focus includes businesses that could sustain earnings growth of around 20% annually over the next one to three years. This is an investment selection objective, not a promised growth rate or a forecast that every portfolio company will achieve.

The process also considers the stage of a market cycle. A company that led a previous bull market may not remain the leader in the next one. The fund therefore evaluates whether the sources of earnings growth and competitive advantage remain intact rather than relying solely on a company's historical performance.

The 4 M's framework provides the structure for evaluating businesses. It combines competitive position, market opportunity, management quality and margin of safety. These factors are considered together: a large market may not be attractive if a company cannot compete effectively, while a strong business may offer limited investment value if its price leaves little room for disappointing results.

This approach is paired with Buy & Rotate, which allows the portfolio to adjust as the manager identifies new leaders or sees changes in the outlook for existing holdings.

How the 4 M's Framework Guides Stallion Asset Core Fund Stock Selection

Market Leadership

Market Leadership examines a company's competitive position and its ability to establish or retain a leading role in its industry. The framework favours businesses that solve an important customer problem and have advantages that make it difficult for competitors to take market share.

A strong position can arise from scale, brand strength, distribution, customer relationships, execution or other business-specific advantages. The relevant factors differ by industry. The key question is whether the company can sustain its position as competitors respond and market conditions evolve.

For the Core Fund, market leadership is not simply a matter of identifying the largest company in a sector. The assessment also considers whether the business can continue growing and whether its competitive position supports that growth.

Market Opportunity

Market Opportunity looks at the size of the addressable market and the length of the company's potential growth runway. A business may be performing well today but have limited room to expand if its market is mature or competition is intensifying.

The Core Fund's approach seeks businesses operating in markets large enough to support substantial growth over time. The investment case depends on the company's ability to capture that opportunity through products, services, distribution, execution or other competitive strengths.

The scale of the opportunity matters alongside the duration of growth. A short-lived demand surge may not offer the same investment case as a market where structural changes support several years of business expansion.

Management

Management analysis considers the people responsible for allocating capital, operating the business and making strategic decisions. The Core Fund's framework places emphasis on integrity, execution, the ability to scale operations and the sustainability of business decisions.

Capital allocation is particularly important. Management teams must decide how to deploy cash, fund expansion, manage debt and balance reinvestment against distributions to shareholders. Poor decisions can weaken an otherwise attractive business.

The assessment also considers whether management can execute its plans at the required speed and scale. A promising market opportunity does not automatically translate into shareholder value; results depend on how effectively the company converts that opportunity into earnings and cash flow.

Margin of Safety

Margin of Safety considers the relationship between a business's value, its capital structure and the price paid for its shares. Stallion's stated framework places emphasis on capital allocation and distribution rather than relying solely on a price-to-earnings ratio.

A company's value can be considered through its existing earning power, future value creation, excess cash and debt. This broader view recognises that two companies with similar reported earnings may have different prospects because of their growth opportunities, balance sheets or capital-allocation decisions.

Margin of safety does not eliminate investment risk. Forecasts can be wrong, competitive conditions can change and market prices can fall below an investor's estimate of value. The purpose of the framework is to make these factors part of the investment decision rather than treating valuation as a single ratio.

How Does Buy & Rotate Work in the Stallion Asset Core Fund?

Buy & Rotate is the Core Fund's approach to changing portfolio holdings as the manager's assessment of market leadership and earnings prospects evolves. It differs from a rigid buy-and-hold method because the portfolio is not intended to retain a company simply because it performed well in the past.

The starting point is the belief that market leadership can change between cycles. A business that benefited from one period's conditions may face slower growth, stronger competition or a less attractive earnings outlook in the next. At the same time, a previously less prominent company may develop the characteristics needed to become a new leader.

Under Buy & Rotate, the manager evaluates whether existing holdings continue to meet the investment case and whether other companies offer more attractive opportunities. Changes can be made when the original thesis weakens, a company's growth outlook changes or a new business better fits the strategy's criteria.

The process is not a promise to identify every market leader in advance. Leadership is difficult to predict, and changes in portfolio positions can prove mistimed. A new investment may fail to deliver the expected earnings growth, while an existing holding may continue performing after the portfolio has reduced its exposure.

Rotation also creates practical considerations. Selling and buying securities can generate transaction costs, affect realised gains and change the portfolio's sector or market-cap exposure. The effect of these decisions depends on the market environment and the timing of the trades.

For investors, the key distinction is that Buy & Rotate is a portfolio-management process rather than a fixed calendar rule. The strategy's actual turnover, holdings and exposures can change over time.

How Is the Stallion Asset Core Fund Portfolio Constructed?

The Core Fund typically holds around 15–25 stocks, creating a portfolio that is more concentrated than a broad-market index containing hundreds of constituents. Its multi-cap mandate allows exposure to companies of different market capitalisations, while stock selection is driven by the investment team's growth and leadership criteria.

The portfolio can be understood through three broad types of opportunities:

• Core Stocks: Established businesses with competitive advantages, durable earnings potential and a position that supports a longer-term investment case.
• Trend Stocks: Companies whose growth prospects, earnings trajectory or industry position are improving and may be developing into market leaders.
• Special Situations: Selected opportunities where a specific business development or change in circumstances creates an investment case that differs from the broader market's expectations.

These are useful descriptions of the portfolio's investment roles, not fixed allocation buckets with predetermined percentages. The mix can change with market conditions, stock-level opportunities and the manager's assessment of risk.

Buy & Rotate influences portfolio construction by allowing capital to move between established leaders and emerging opportunities. Position sizes and sector exposure may change as the investment thesis evolves. A concentrated portfolio can give individual investment decisions a meaningful effect on overall performance, both positively and negatively.

Turnover is another important consideration. Rotating holdings can help the manager respond to changing opportunities, but frequent transactions can add costs and make results more sensitive to the timing of decisions. The actual turnover rate should be considered alongside the investment horizon and the strategy's reported performance.

Investors should review the current portfolio disclosure for the latest holdings, concentration and exposures rather than assuming that a previous portfolio remains representative.

Stallion Asset Core Fund Sector Allocation: Latest Dated Snapshot

The latest dated sector-allocation snapshot available for this profile is 31 July 2026. The figures below should not be interpreted as August-end allocations; portfolio weights can change as securities are bought, sold or repriced.

These are the five sector weights reported in the dated snapshot, not a complete list of every portfolio exposure. They should not be added together and treated as the full portfolio allocation.

The manager's broader investment focus includes consumer discretionary businesses, financials, consumer technology and pharmaceuticals. Actual exposure to these areas can differ from one reporting date to another.

Sector allocation matters because industry-specific developments can affect several holdings at once. For example, changes in consumer demand, credit conditions, healthcare regulation or technology spending can influence the earnings outlook of multiple companies. A multi-cap label does not by itself ensure balanced sector exposure.

Stallion Asset Core Fund Risk Metrics: Alpha, Beta, Standard Deviation and Sharpe Ratio

The latest dated risk metrics available for this profile are from 31 July 2026.

These figures are historical measurements, not forecasts. Their interpretation depends on the period covered, calculation methodology, benchmark and market conditions. A beta below one, for example, does not mean the fund cannot experience a substantial fall.

Standard deviation measures variability rather than the direction of returns. The Sharpe ratio and Jensen's alpha also depend on their calculation assumptions and should not be used in isolation to judge a strategy. Risk metrics may change as new data becomes available.

The Core Fund's concentrated multi-cap structure can expose investors to stock-specific, sector and market-cycle risk. These risks remain relevant even when a reported risk ratio appears favourable.

Stallion Asset Core Fund Fees, Hurdle Rate and Exit Load

The Stallion Asset Core Fund offers two fee plans. Investors should compare the fixed fee with the performance-linked option and understand how the hurdle rate and profit-sharing terms apply under the signed agreement.

Under Plan A, the performance fee is linked to profits above the stated 10% hurdle rate. The hurdle rate is the threshold used for the performance-fee calculation; it is not a promised minimum return. The actual calculation, including the applicable measurement period and other contractual provisions, is governed by the signed agreement.

Plan B charges a higher fixed management fee and does not include a performance fee. The relative cost of the plans depends on the account's performance and the terms used to calculate fees.

The overall cost of a PMS account can also include operating expenses such as custody, audit, statutory and transaction-related charges, where applicable. These expenses are separate from the headline management fee.

Exit load is agreement-dependent. Investors should consult the exit-load provisions in their signed PMS agreement rather than assume a universal charge or timeline. A redemption request may also be subject to processing requirements, regulatory conditions and the terms governing the account.

How to Invest in the Stallion Asset Core Fund: Minimum Investment, SIP, STP and Redemption

Minimum investment and minimum redemption

The minimum investment for the Stallion Asset Core Fund is ₹50 lakh. The minimum partial redemption amount is ₹1 lakh, subject to applicable requirements concerning the minimum portfolio value that must remain after withdrawal.

Investors should consider the full capital commitment before onboarding. A PMS is an equity-market investment, and the value of the portfolio can fluctuate after investment. The minimum entry amount does not indicate the level of risk or the amount an investor can afford to lose.

SIP facility

Stallion offers a Systematic Investment Plan (SIP) facility for eligible existing PMS clients. The stated minimum SIP amount is ₹2 lakh, in increments of ₹1 lakh. Investors can choose a monthly or quarterly schedule, with the debit date fixed on the fifth of the relevant month or quarter. If the fifth falls on a non-business day, the debit is scheduled for the next working day.

The client's PMS portfolio must maintain a minimum balance of ₹50 lakh, and contributions must come from the bank account registered with the PMS. NRIs are not permitted to use the SIP facility.

STP facility

The Systematic Transfer Plan (STP) allows an initial investment to be deployed into the Core Fund in five equal tranches over five months. The first 20% is invested in the Core Fund immediately. The remaining 80% is held in the transition arrangement and transferred in four equal 20% tranches on or around the tenth of each subsequent month.

STP is a deployment mechanism, not a separate equity strategy. It does not guarantee a better entry price, reduce all investment risks or improve returns. The terms and operating expenses associated with the arrangement apply as specified by the portfolio manager.

NRI eligibility and onboarding

NRIs can apply for the PMS subject to applicable eligibility, banking, KYC and regulatory requirements. Account setup typically takes around 14 working days for NRI and non-individual investors after the required documents are received, although the actual timeline can vary.

Resident individuals may be able to open accounts digitally if their KYC is updated and validated with the KRA. The manager also offers direct onboarding without an intermediary. Investors choosing this route can contact the portfolio manager directly at pms@stallionasset.com.

Redemption process

Partial redemption requests are submitted from the registered email address to operations@stallionasset.com. Requests received before 6:00 p.m. are scheduled for processing on the next business day (T+1); requests received after 6:00 p.m. are scheduled for the second business day (T+2), subject to applicable processing requirements.

Closing an account involves additional documentation, including signed withdrawal and account-closure forms. Once the request has been successfully processed, the stated credit timeline is within T+7 working days. The signed PMS agreement governs any applicable exit load.

For a broader explanation of SIP, STP and top-up options in PMS, review the relevant operating mechanics before selecting a funding route.

How Is Capital Deployed Into the Stallion Asset Core Fund?

Investors may choose to deploy capital directly into the Core Fund or use the manager's STP facility to spread the initial equity allocation over five instalments.

Under the published STP schedule, the total amount is first transferred through the specified funding process. Twenty per cent is allocated to the Core Fund immediately, while the remaining 80% is transferred in four equal monthly tranches. Each tranche represents 20% of the original investment, and the schedule runs over five instalments in total.

For example, on an eligible ₹50 lakh initial investment:

The balance awaiting transfer remains within the transition arrangement described by the manager. Investors can receive reporting for that allocation while the STP is active. The arrangement is intended to facilitate phased entry; it does not assure better returns or remove the risk of an equity-market decline.

No additional management fee is charged specifically for the STP facility, but applicable statutory and operational expenses may be borne by the client. Standard Core Fund PMS fees continue to apply to the capital deployed into the equity portfolio.

The initial STP funding must be made by bank transfer rather than by transferring existing stocks. Clients can request cancellation, subject to the required notice period; cancelling the STP is treated as an instruction to transfer the remaining balance in the transition allocation to the equity portfolio under the manager's stated process.

The transition allocation is not intended to be a standalone investment product. Its role is to facilitate staggered deployment into the Core Fund.

What Are the Key Risks of Investing in the Stallion Asset Core Fund?

The Stallion Asset Core Fund is exposed to equity-market risk. Stock prices can fall because of economic developments, changing interest rates, earnings disappointments, political events or shifts in market sentiment. A long investment horizon does not prevent losses during market corrections.

Concentration risk is relevant because the strategy typically holds around 15–25 stocks. A material decline in one or more holdings can affect overall portfolio performance. The multi-cap mandate also exposes investors to changes in large-, mid- and small-cap market conditions.

Sector risk arises when several holdings respond to the same industry factors. Even where a portfolio owns different companies, their earnings may be influenced by common variables such as consumer demand, credit growth, regulation or technology investment.

Valuation risk occurs when the price paid for a business assumes growth that does not materialise. A company may be a market leader and still deliver poor investment returns if its earnings or competitive position fall short of expectations.

Market-cycle and strategy risk are also important. Buy & Rotate depends on identifying changes in leadership and reallocating capital at appropriate times. A new leader may fail to sustain growth, or the portfolio may reduce exposure to a business that continues performing well. Turnover can add costs and affect realised returns.

Liquidity and exit risk depend on market conditions, redemption processing and the terms of the PMS agreement. An open-ended PMS does not mean every security can be sold immediately at the expected price or that account closure is instantaneous.

Finally, the strategy depends on investment research and the portfolio manager's decisions. Changes in personnel, investment assumptions or execution can affect results. Investors should review the applicable disclosures and consider whether they can tolerate volatility and potential capital loss.

Who May Consider the Stallion Asset Core Fund?

The Stallion Asset Core Fund may be relevant to investors who are evaluating a discretionary, multi-cap equity PMS and can commit at least ₹50 lakh to the strategy. Its investment approach relies on identifying growth-oriented companies and adjusting portfolio positions as market leadership changes.

The strategy's stated investment horizon is at least three years. Investors should be prepared for periods of volatility, possible declines in portfolio value and the effects of concentration in a limited number of stocks. The 4 M's framework and Buy & Rotate process do not eliminate the risk of an investment thesis failing.

The PMS structure also requires investors to understand the applicable fees, operating expenses, redemption procedures and contractual exit provisions. Those terms can influence the investor's realised outcome.

Before proceeding, investors should assess their overall asset allocation, liquidity requirements, tolerance for equity-market losses and the role a concentrated multi-cap strategy would play within their wider portfolio. For more about the investment manager, see Stallion Asset. To explore other investment professionals on the platform, visit fund managers on the ALTPORT platform.

Explore the Stallion Asset Core Fund

Review the Core Fund's investment approach, fee plans, minimum investment and redemption terms alongside its dated performance and risk information. The investment decision should reflect the strategy's mandate, the investor's time horizon and the possibility of loss.

For product details or onboarding information, contact ALTPORT. Investors can also review the portfolio manager's disclosures and the terms of the relevant PMS agreement before committing capital.