India’s Kings of Capital – Part I: Uday Kotak “Sometimes we are asked what it is we do all day – given we are not trading in and out of our holdings. This complete summary of the ideas from Amey Stone and Mike Brewster’s book “King of Capital” investigates the career of Sandy Weill, entrepreneur and CEO of Citigroup. © 2015 Marcellus Capital. To learn more, read “King of Capital” and discover the story behind the CEO of Citigroup, Sandy Weill. The reason that this happens is that investors enjoy the following tailwinds by investing in high quality Financial Services stocks during a crisis: In the table below we have shown all three effects playing out for HDFC Ltd. at the turn of the century and for HDFC Bank after the Lehman crisis, Please click here for further details on the Kings of Capital strategy and please click here. However, history shows that investing in high quality financial stocks during a crisis proves to be highly rewarding. We offer responsible, long term investment service. SERVICES. Over the past decade, India’s Financial Services sector has been hammered by demonetisation, the ILFS crisis, Yes Bank’s collapse and now the Covid crisis putting extreme pressure on weak lenders. About. Little Champs PMS. You must be logged in to post a review. ABOUT. The contents and information in this document may include inaccuracies or typographical errors and all liability with respect to actions taken or not taken based on the contents of this site are hereby expressly disclaimed. Format: PDF. Any content related to investments on this website is for information purposes only and does not constitute investment advice or an offer or solicitation to invest, to any persons residing in or as a citizen of any jurisdiction in which it is prohibited to make such an offer. The Kings of Capital Portfolio will invest in 10-14 stocks across banks, NBFCs, insurance companies, AMCs and wealth management companies. Keeping this in mind, we have created a portfolio of high-quality lenders, general insurers, life insurers, asset managers and brokers. See who you know in common; Get introduced; Contact Aaron directly; Join to view full profile People also viewed. Marcellus Capital Group holds principles of trust, integrity, ethics and performance in the highest regard. Pages: 43. To learn more, read “King of Capital” and discover the story behind the CEO of Citigroup, Sandy Weill. You should always seek appropriate advice from a recognised financial advisor when making investment decisions. Of the remaining 65 stocks, an additional 42 stocks get eliminated after applying Marcellus’ proprietary capital allocation framework. Keeping this in mind, we have created a portfolio of high-quality lenders, general insurers, life insurers, asset managers and brokers. Information on this website may not constitute the most up-to-date information. As per RBI’s households survey, 95% of Indian wealth is in physical assets with only 5% being in financial assets. As seen in Exhibit 1 below, investing in financial stocks during a crisis delivers not only outsized returns in relative terms but also in absolute terms. Prior to joining Marcellus, Tej worked at Mayfield, a Silicon Valley headquartered venture capital fund which manages $3Bn globally and $220Mn in India. Sep 2020 Published on 16 Sep, 2020. High barriers to entry so that companies are able to sustainably generate return on capital higher than cost of capital. Prior to Mayfield, Tej was a part of the equity and capital markets team of Ambit Capital where he was involved in the end to end execution of IPOs, QIPs and buybacks. Publisher: BusinessNews Publishing. Their loan book growth accelerates whilst being funded by their high-quality liabilities franchise; Their net interest margins expand as these lenders are able to pick and choose borrowers. All Rights Reserved, AK Estate, Off Veer Savarkar Flyover, SV Rd, Goregaon West, Mumbai, Maharashtra 400062, Sukhabash Coop, Plot No. RBI Governor Shaktikanta Das feels that India's stock market is 'disconnected' with the real economy. A long-term view of Indian credit cycles also suggests something similar – a few years of high loan book growth, low NPAs and economic boom are typically followed by low credit growth, high NPAs and recessionary fears. Marcellus Capital's Principal has over 30 years Financial Services experience with various institutions. Tej is a Portfolio Manager at Marcellus. Added-value of this summary:– Save time– Understand key concepts– Expand your knowledge. Portfolio management services (PMS) company Marcellus Investment Managers has announced the launch of its third product – a financial services focused strategy called The Kings of Capital. 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