High Frequency Strategy Quant

Lotusdew Wealth

Built to take advantage of high frequency macro economic and corporate action indicators

Built to take advantage of high frequency macro economic and corporate action indicators

Minimum Investment Amount
₹ 1,18,831

1Y CAGR

6.27%

About the smallcase

Lotusdew High Frequency strategy behaves like a long-only event based hedge fund. It aims to take positions in smallcap stocks that are expected to benefit from events like earnings surprise, dividends, mergers/split announcements, policy tailwind, order wins, analyst calls, rating upgrades etc by anticipating these ahead of announcements using Artificial Intelligence applied on behavioral finance techniques.

  • This is a high turnover basket that aims to constantly find opportunities within smallcap universe.
  • This is actively managed where typically each stock is held for 3-6 months during which we expect positive events to play out in our individual stock selections.


Investment Screening Process

We currently look at an universe of 1200 stocks to identify the basket. We source our own data directly from unstructured public disclosures that we process computationally to create our own proprietary dataset.

  • We then apply behavioural finance techniques to identify dominant bets in the market to uncover potential event based opportunities in small cap stocks.
  • At this stage we look for overlaps with FPI bets, domestic investor preference, liquidity profile and earnings quality metrics to further shortlist to 200 stocks.
  • Next we screen out potential turn around stories to reduce risk in the portfolio as this is not a special situations strategy.


Methodology

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Understand smallcase costs and returns
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About the Manager

Windmill Capital

At the glance

Rebalance Frequency
Monthly
Last Rebalance
Jan. 15, 2025
Next Rebalance
Feb. 15, 2025
Check latest rebalance updates issued by the manager
View Rebalance Timeline
Large Cap
0%
Mid Cap
0%
Small Cap
100%
Minimum Investment Amount
₹ 1,18,831
Get access for ₹10619/6m
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