Saurabh Mukherjea uses three filters to narrow down on the companies worth having in his stock portfolios. Be it large cap, small cap, FMCG or pharma, the companies must satisfy this basic philosophy.
First, the books must be clean, that’s the 10-15 years of forensics, the founder and chief investment officer at Marcellus Investment Managers, which managed Rs 2,131.9 crore assets as of August, said in BloombergQuint’s latest episode of the special series Alpha Moguls. “If the promoters are stealing then we have no interest regardless of how the sector or the stock might be,” he said. “We’re going to be running away as far as possible from the company.”
The second criteria, Mukherjea said, is to focus on companies that are selling essential products or services. “We try to avoid commoditised sectors, in the sense of metals, cement, real estate, infrastructure and…