Emkay Emerging Stars Trust, sponsored by Emkay Global Financial Services Ltd. and managed by Emkay Investment Managers Ltd. (EMIL), has today launched Emkay Emerging Stars Fund, a Category III Alternative Investment Fund (AIF).
Emkay Emerging Stars Fund has received an approval from Securities and Exchange Board of India (SEBI) and its primary objective will be to generate long term capital appreciation for investors with an investment horizon of five years in Indian equity. In last four and half years, the Fund Management Team of EIML has generated returns at CAGR of over 25%.
Emkay Emerging Stars Fund is a five-year closed ended fund with a fundraising commitment in the range of INR 200 crore to INR 300 crore. The Investment Universe of the fund is the top 300 to 1000 companies ranked by market capitalisation. These companies will have market capitalisation between INR 500 cr. to INR 5000 cr. and have offered attractive returns historically.
On this occasion, Mr. Krishna Kumar Karwa, Managing Director, Emkay Global Financial Services Ltd said, “We are pleased to announce the launch of our first AIF which is backed by our research expertise. AIFs are at the cusp of significant evolution in India and with its diversification we see an attractive opportunity as a wealth creation asset for the high net worth individuals.”
Offering a rationale, Mr. Sachin Shah, Fund Manager, Emkay Investment Managers Ltd said, “In the last few years, especially during 2013 to 2016, small cap and mini cap companies have delivered better return on equity and return on capital employed and also delivered better CAGR. We will be targeting these securities as the investment universe for the fund.”
Through this fund, Emkay Investment Managers Ltd will employ sound (conventional) & smart fundamental investment strategies.