universe

The universe is the Nifty 750, covering the full investable market, including small caps. Every constituent must clear a minimum traded-value floor before it is eligible, and stocks under exchange surveillance are excluded. The widest universe on the shelf is used deliberately: opportunities of this kind appear more often outside the large-cap index.

research

A single factor drives selection: Quality. It is measured through return on equity, return on capital employed, debt-to-equity and the consistency of earnings across cycles, which together identify businesses that compound rather than merely grow. Scoring is relative to the universe and refreshed at every review, so the portfolio follows current leadership rather than a fixed list.

stockScreening

The portfolio holds 10 stocks, taken from the top of the ranking and subject to three gates: positive operating cash flow in the most recent financial year, interest cover above two times, and no exchange surveillance flag. A high score alone does not qualify a company; a strong signal attached to a deteriorating balance sheet is a trap rather than an opportunity.

weighting

Factor-weighted, so the strongest scores carry the largest positions, with a 20% cap per stock. The cap is set against the holding count: in a 10-stock book a larger position would be single-name risk rather than a conviction expression.

Reviewed quarterly, and rebalanced only when the portfolio has drifted materially from its target — currently when more than 20% of the target holdings differ from those held. The underlying measures move with reported financials, so a quarterly review matches the pace at which the data changes. Trading only on drift avoids churning a portfolio that has not meaningfully changed, since every trade carries a cost the investor bears.

rebalance

This smallcase will be rebalanced on an as-needed basis