A systematic, rules-based investment process combining factor-based stock selection, strategic asset allocation, and rigorous out-of-sample validation.
We believe that markets reward certain persistent risk premia — momentum, value, quality, and trend — that can be harvested systematically. Rather than relying on human judgement or conviction-based stock picking, we use a quantitative model that ranks stocks on 8 measurable factors and constructs portfolios purely based on data.
Equally important is how capital is allocated. We maintain a fixed 60% equity / 40% gold allocation, providing consistent diversification across market cycles. Our research showed that dynamic market timing signals have near-zero predictive power for forward returns, so we avoid the noise penalty of regime-switching and capture gold's structural diversification benefit instead.
Every aspect of our methodology is walk-forward validated — we never use future data to make past decisions. This discipline ensures that our track record reflects what an investor would have actually experienced, not an optimised backtest.
Stocks are selected exclusively from the NIFTY LargeMidcap 250 universe — no small-cap exposure, only India’s top 250 companies by market capitalisation. Ranked across four factor categories, with the top 25 stocks by composite score selected with a 10% max single-stock weight cap, rebalanced daily across 21 staggered tranches.
Before factor scoring, hard filters remove fundamentally weak stocks from the investable universe. This quality gate reduces exposure to value traps and financially stressed companies.
Excludes companies with negative earnings yield — no loss-making stocks enter the portfolio
Minimum ROCE threshold ensures capital is deployed efficiently
Debt-to-equity below 1.5x for non-financial companies (banks and NBFCs exempted as leverage is their business model)
Filters out companies with unsustainably thin margins
Excludes stocks where operating margins have deteriorated by more than 40% year-on-year
Minimum ROE threshold removes companies generating poor shareholder returns
A fixed 60% equity / 40% gold allocation provides consistent diversification. Gold reduces portfolio volatility and drawdowns while equities drive long-term growth.
The strongest test of any investment strategy is whether it works on data it has never seen. We use walk-forward validation — the gold standard in systematic trading research.
How it works: In each window, the model optimises factor weights on the training data (2 years), then applies those weights to the subsequent test period (6 months) that it has never seen. Within each test window, the portfolio is rebalanced daily via 21 staggered tranches with a 10% maximum single-stock weight cap, reducing timing risk and market impact. The portfolio track record is built entirely from these test periods — none of the reported returns come from in-sample data.
Survivorship bias elimination: At each point in time, the stock universe is reconstructed from official NSE constituent PDFs. We maintain 96 point-in-time snapshots covering 338 unique stocks, ensuring that only stocks that were actually in the index at that time are considered.
SEBI Registration Applied For (via partner firm).
Investment Advisory under SEBI (IA) Regulations, 2013.