The fund ended CY2023 with a strong performance beating the Nifty by 4.2% during the year. While broader markets in India were strong, we are going through an interesting phase of a global bull market, ex-China. The interesting thing about the returns for India during the last 3 years has been the returns in India has come from earnings growth with little or no returns from PE re-rating. This effectively does not make India an expensive market today.

Today, more than ever positioning the portfolio towards sectors of growth will drive incremental returns in the portfolio. We believe that we are in a cycle of GDP expansion and positioning portfolios that will have non-linear growth here will accrue significantly to Portfolio IRRs.