Largecap Compounders

 A2S Portfolio                                                                               last updated on: 27 July 2022

Alpha2Sigma rationale

-Invests in top 12-15 companies of NIFTY 50 Index

-Companies with Strong Balance Sheets and Low Debt on books.
-Companies with Good Managements integrity, capability, and performance track record.

-Companies are available at Reasonable Valuations as compared to their earnings potential.

-Announcements, Results, and News of the companies are regularly researched to ensure the stock's potential.

        Created by                                                                         Subscription Type

        Alpha2Sigma                                                                               Paid 

Methodology

🌍 Defining the universe 

All publicly traded companies on the National Stock Exchange of India are included in the universe

🧪 Research 

-Alpha2Sigma is an Educational Firm with - Founders having 3 generations of investing

Experience.

We have a research team of over 5 members, including CA's, MBA's, 

 Economics Honors graduate. 

-The team does the screening of financial data of all the listed companies and selects the companies where detailed research is to be done basis 

HQRP Philosophy.  (High-Quality Right Price)

 -The detailed research report is prepared on the basic study of the 

Annual Report, Quarterly Financial Statements, Company Announcements, industry and company news, business potential, valuations, etc.

-Daily tracking of stocks is done by studying the news items and corporate announcements. 

-The quarterly research report is prepared for each stock under research. 

-We use Ace Equity and Ace MF database to study the financial statements. 

-On ground research is done by interacting with 

the Distributors, Employees, Customers, and Competitors on a periodic

basis to understand the business direction. 

∰ Historical back-testing 

Alpha2Sigma Stock Basket is checked for historical outperformance to ensure that only consistently outperforming strategies are selected. 

Our team has over 10 years of successful track in creating wealth from stocks. We use our learnings from the past to select the best multi-bagger stocks. 

We also use a disciplined approach to select stocks, re-balance them, keep liquid money for opportunities and do staggered buying and selling. 

🧰 Constituent Screening 

Our Screening is done basis "HQRP" Philosophy of Buying High-Quality Companies “HQ” - The company should have been in business, successfully, for a long period of time.

-The company should be profitable. 

-Debt/ equity should be below 1 time. 

-Revenues should be growing. 

-The Balance Sheet should be strong. 

-The business should have moats or entry barriers

-i.e. Capital, technology

 - The company should be utilizing the cash generated from the business, in the best interest of shareholders. 

- No ignorance towards safety, environment, and pollution issues

-Operating margins should be above the industry average.

-The taxes paid should be near the rate prescribed by the government

-The company should be investing in product innovation, R&D, and brand building. 

-The management integrity, capability, and history should be good. 

Buying the stocks at the right price “RP” 

Buying a Company at the right price helps us maintain a margin of safety on your investments. 

This helps us generate higher capital appreciation. We use the income, market, and asset approaches to evaluate the valuations of the company. 

The company should be Resilient, have a High Addressable Business Opportunity, should have high capital efficiency, have a competitive moat, and have management with integrity. 

While investing, we consider ourselves as a small owner of the business

🏋Weighting 

Following parameters are considered while assigning weights to stocks in this Basket

-Industry Exposure 

-Company Exposure 

-Theme 

-Potential to generate wealth 

-Economy and market trends 

🔍Rebalance

This Basket has a quarterly rebalance schedule. Once every quarter, the research team reviews this Basket to add or drop stock/ETFs, if applicable

 📌Important Fields 

Inception Date 
October 1, 2019 

Launch Date 
March 20, 2020 

Marketcap Category 
Equity Multi Cap 

Review Frequency 
Quarterly 

Last Reviewed 
June 27, 2022 

Next Review On 

September 27, 2022

The performance graphs & numbers are calculated using only the live data and includes rebalances. Past performance doesn't include cost or guarantee future returns.

 💡General Investment Disclosure

Charts and performance numbers on the platform do not include any Backtested Data. Please refer to the Returns Calculation Methodology to check how returns Are calculated on the platform. 

Data used for calculation of historical returns and other information is provided by exchange-approved third-party data vendors and has neither Been audited nor validated by the Company. To Basket where weights are not provided by the creator, Equal weights are used to calculate all returns, numbers, and ratios on the platform. The basket fact sheet might include a strategy Backtest if provided by the creator of the Alpha2Sigma. This is included to help users analyze the performance of the Basket across different economic cycles and long time horizons. STPL has not verified the backtest performed by the manager. We make no representations or warranties (expressed or implied) to any recipient n the contents of the backtest. Any information included in the backtest should never be construed as our representation or endorsement for the same. 

STPL is not involved in the generation of the backtest and is not responsible for the contents of the same, nor do we verify the accuracy of the same. We do not have control over the backtest performed by the creator/manager of the Basket and neither do we play a determinative role in any calculation of the same. "Back-testing" is the application of a quantitative model to historical market data to generate hypothetical performance during a prior period. The use of back-tested data has Inherent limitations including the following:

A: The results do not reflect the

Results of actual trading or the effect of material economic and market conditions on the decision-making process, but were achieved by means of retrospective application, which may have been designed With the benefit of hindsight. 

B: The calculation of such back-tested performance data is based on assumptions integral to the model which may or may not be testable and are therefore subject to losses.

C: Actual performance may differ significantly from back-tested performance. Back-tested results are not adjusted to reflect the reinvestment of dividends and other income And, except where otherwise indicated, do not include the effect of back-tested transaction costs.

D: Back-tested returns do not represent actual returns and should not be interpreted as An indication of such. 

E: Please note that past performance does not guarantee future returns. 

All information presented in this document and related material is to help investors

in their decision-making process and shall not be considered as a recommendation or 
Solicitation of an investment or investment strategy. 
Investors are responsible for their investment decisions and are responsible to validate all 
The information is used to make the investment decision.An  investor should understand 
that his/her investment decision is based on personal investment needs and risk 
tolerance and information available in this document and related material is one among 
Many other things that should be considered while making an investment decision. 
Stock and ETF investments are subject to market risks, read all related documents carefully.
 Investors should consult their financial advisors if in doubt about whether the 

product is suitable for them.

FOR INVESTMENT AND INQUIRIES 

Manish Sunil Thole

7777067760 / manish@alpha2sigma.com