Samco Mutual Fund Launches its First

Samco Mutual Fund Launches its First NFO 

“Samco Flexi Cap Fund”

(An open-ended equity scheme that aims to provide capital appreciation by investing in equity and equity-related securities across market capitalization.)

·        SAMCO Flexi Cap Fund aims to create wealth for investors a 3E step strategy-

ü  Investing in efficient companies at an efficient price and maintaining efficient costs.

ü  The scheme will follow a growth investing strategy investing in Indian and Global Equities in a proportion of 65% (Indian Equities) - 35% (Global Equities).

·        Samco Mutual Fund to set new transparency and disclosure benchmarks with Industry-first disclosures:

ü  Scheme’s Active share – which shows to what degree is the fund different from index

ü  Voluntary Dealing cost – shows how the scheme will be extremely cost efficient and avoid unnecessary portfolio churn to keep cost low for investors

·        SAMCO publishes a Unit Holder’s Handbook to detail the strategy and help investors understand the process

Samco Mutual Fund today announced the launch of its first NFO “Samco Flexi Cap Fund”. The NFO opens on 17^th of Jan 2022 and closes on 31^st Jan 2022

Jimeet Modi, Founder and Director of Samco Asset Management Pvt Ltd said “We are excited to launch SAMCO Flexi Cap Fund as SAMCO's first fund offering. In line with our goal, the fund is designed as a truly active fund and will aim and endeavour to maintain a high active share. This shall ensure that investors get their money's worth and a truly differentiated fund when they pay an active asset management fee. This is a refreshing change in a world where closet indexing has become mainstream.”

Samco Flexi Cap Fund follows the 3E strategy to build a portfolio designed to generate a high risk adjusted return.

1. Invest in Efficient Companies: The scheme shall invest only efficient companies that have an ability to sustainably generate a high return on capital in cash adjusted for discretionary growth expenditures. SAMCO targets to invest in businesses with 25%+ adjusted return on capital. The scheme shall invest in 25 stocks across market caps from India and the Globe in a proportion of 65% - 35% of the net assets of the scheme. These stocks shall be from universe of 125 companies that have passed SAMCO’s HexaShield framework.

2. At an Efficient Price: The scheme will only invest in securities at reasonable/ efficient prices when the relative yield for stocks is reasonable vis-a-vis the rest of the comparative universe.

3. Maintain an Efficient portfolio turnover and cost: The third pillar of the strategy is aimed at reducing hidden dealing costs and improve performance. Investors believe that Total expense ratio is the only cost that is incurred by them as a part of their investments. But there is also a hidden cost which is not disclosed in any of these figures: the cost of dealing within the fund. When a fund manager or an investor deals in stocks, he or she pays brokerage commissions, securities transaction tax at 0.1 per cent, exchange transaction charges, stamp duty, SEBI fees and the difference between the broker’s bid and offer prices (the spread) often referred to as the impact cost.

Total cost of investments incurred by investors = TER of Scheme + Voluntary dealing cost

SAMCO Mutual fund is the first mutual fund in India that will transparently disclose all voluntary dealing costs. Voluntary dealing costs are all costs incurred by the fund manager for purchases and sales excluding the costs incurred for involuntary transactions such as fund inflows/outflows. This shall be computed as a percentage of the AUM. This will help investors compute the total cost of investments which is a sum of the TER and voluntary dealing costs.

Commenting on the launch Mr Umesh Kumar Mehta, CEO of Samco Asset Management Pvt Ltd said “SAMCO FlexiCap Fund is a unique and a pure equity fund in the Flexi Cap Category by its design. Unlike other funds, it only seeks to invest in Indian Equities and Global Equities. No other assets like corporate debt, REITs, derivatives, etc are permitted which will allow the scheme to be a pure equity scheme.  It’s 25 stock portfolio construction strategy ensures that investors enjoy benefits of reasonable concentration and diversification unlike other strategies which may be overly diversified. Further, investors get exposure to high growth global names and yet since 65% of portfolio will be Indian equities, the applicable taxation would be that of long-term capital gains for equities i.e., 10% after 1 year. This works as a great optimal structure for investors. Further, we are proud to be the first AMC to publish a Unit Holder’s handbook which explains in detail how investors’ money shall be managed. This ensures transparency of process and helps investors have clear expectations from the fund.”

Mrs. Nirali Bhansali, Equity Fund Manager of the SAMCO Flexi Cap Fund said “We have constructed the SAMCO FlexiCap fund as a simple 3-step buy and hold strategy that shall invest in some of the worlds fast growing and capital efficient companies that can compound capital over the long term. Investors will get exposure to high growth companies globally since the fund shall invest 35% of its assets in global stocks. Further, since the strategy is designed to reduce the portfolio turnover, we shall endeavor to have low voluntary dealing costs so that Investors total cost of investment is reasonable. We are excited to set new standards with our disclosures on active share as well voluntary dealing costs.”

The Fund Manager of the scheme shall be Mrs. Nirali Bhansali and the dedicated fund manager for overseas investments shall be Mr. Dhawal Dhanani.

Samco Launches

 Samco Launches ‘KyaTrade’ - India’s First Real-time Stock Trading & Recommendation App

The Covid-19 pandemic has seen lakhs of new investors looking at equity markets as an alternate source of income but having no clue beyond opening their demat and trading accounts. Leading this disruption in an industry-first initiative, Samco Securities, has launched ‘KyaTrade’ - an instant trading ideas and recommendation App that live streams fresh, actionable, and high-conviction equity trading and investment ideas that come with a favourable reward-risk ratio. These are high-conviction ideas curated by Samco's research experts along with solid machine-led execution strategy.

Starter pack at Re 1 for first month

KyaTrade has different solutions for investors and traders in the markets because both kinds of participants have completely different portfolios, risk profiles and objectives. Subscribers can experience both intraday and investment plans of KyaTrade at just Re. 1 for the first month.

 

Announcing the launch of KyaTrade Mr Jimeet Modi, Founder and CEO, Samco Group said, “Samco has always been at the forefront solving real-world challenges that investors and traders face in the equity broking markets. We believe that while entering the markets is easy as anyone can sign up for a broking and demat account, making a risk-adjusted source of income from trading or investing in the markets remains an evolutionary challenge. Investors and traders are always looking for expert recommendations and once they’ve taken a market position they rarely know the next step on their trade or investment. With KyaTrade we are solving exactly that problem.”

Describing KyaTrade’s capabilities, Mr Nirali Shah, Head of Equity Research, Samco Securities said, “Profiting from the stock markets is no easy task. One is competing with high-frequency and algo-traders for whom this is bread and butter. It could be as easy or as difficult as picking the right stock at the right time and making it a profitable investment or trade. With KyaTrade we are providing the only platform in the country that gives you high conviction ideas with auto in-built risk management system, that controls your price of entry, position sizes, targets, and stop losses. Moreover, we have different strategies for traders and investors making it a win-win for all.”

Don’t believe us, see our track record

We launched KyaTrade to select customers and in-house teams as a free trial and here are the actual results. Refer pdf.

 

Average return of 8.09% on 51 beta ideas since 14 April 2021

 

 

Who is KyaTrade suitable for?

KyaTrade has 2 subscription plans with an ‘Intraday Plan’ for daily traders and an ‘Investment Plan’ for investors.

Intraday Plan

·         Suitable for serious traders only, who are willing to dedicate their time to trading from 9.15am to 3.30pm.

·         Minimum starting capital recommended - 2,00,000

·         Strictly  for professional traders

Investment Plan

 

·         Suitable for everyone including beginners

·         Minimum starting capital recommended Rs 2,00,000 

 

*Fee Refund Guarantee

·         Available only for KyaTrade Investment Plan

·         100% refund of the annual subscription fees, in case the user doesn’t make money in 100 equated trades on investment plan recommendations.

NOTES TO THE EDITOR

 

KyaTrade Product Details 

 

·         KyaTrade is a proprietary Samco exclusive product and can only be accessed by opening an account with Samco Securities

·         Every trade on the app comes with an end-to-end trading strategy and execution, from buy to sell with target and strict stop-loss prices

·         Brokerage of flat Rs. 20/- per order across all segments

·         With a Samco Demat and a trading account customers can get access to the Samco Suite:  StockNote, RankMF and StockBasket

·         Zero AMC for first year

SAMCO’s RankMF launches SmartSIP

- A new and superior way of investing in mutual funds as compared to traditional SIPs

- Built on the Warren Buffett’s principles of Margin of Safety

- Now available for over 350+ equity schemes with the ability to generate substantially higher returns with lower risk

#UpgradeToSmartSIP

Samco Securities limited, a Mumbai-based fintech start-up and one of India’s fastest growing Discount Brokers introduces a new and superior investment system, ‘SmartSIP’ by Rank MF. The recently launched Rank MF platform (www.rankmf.com) is a mutual fund research and investment platform with the objective of helping investors solve one of the biggest problems in Mutual Fund investing i.e. selection of the correct schemes out of a wide plethora of 3000 schemes available.

Rank MF’s SmartSIP is a revolutionary new order type for investing in Mutual Funds which maximizes returns. It automatically follows the rule of Buying Low and Selling High instead of a regular SIP which buys units even when markets are high. In a SmartSIP order, when the market prices are expensive, money is invested in low risk liquid funds and when the market prices are cheap, more money is invested in equity funds.

“In recent times SIP has been gaining popularity among Indian MF investors, with the launch of RankMF’s SmartSIP, investors can give a big boost to their mutual fund returns with far lower risks a win-win combination to generate higher absolute returns than normal SIP” commented Mr. Jimeet Modi, Founder and CEO, Samco Securities. “SmartSIP offers a completely new way of investing for retail investors to generate superior returns by buying low and selling high which hitherto was only available to HNIs and Institutional Investors. Thus, it leads to larger realizable value of invested corpus as compared to corpus value of the SIP investments. Therefore, we recommend our investors to get smarter, #UpgradetoSmartSIP,” he further added.

Commenting on the occasion, Mr. Omkeshwar Singh, Head-RankMF said, “Traditional SIPs involve investing a fixed amount of money in a mutual fund scheme at the same date every month. This is done irrespective of the level of the markets and the valuations at which the market is trading.  Whereas RankMF’s SmartSIP system can make up to 8% additional returns year after year compared to the traditional SIP. The system signals whether an investor should continue with the SIP in the equity scheme, jump a SIP or double his SIP in a month. The SmartSIP order is available in 3 modes – SmartSIP, SmartSIP Plus and the SIP Plus modes.”

RankMF is now democratizing these intelligent systems of investing for retail investors by disrupting the age old and sub-optimal SIP investment technique with a far superior alternative – SmartSIP. The SmartSIP order is built on the principle of Margin of Safety, a concept widely referred to as the most important one by the most successful investors of all time Mr. Warren Buffett.

Warren Buffett said, “The three most important words in investing are Margin Of Safety”.

SmartSIP order is a simple order type pegged with 2 mutual fund schemes – one leg is the equity scheme and the other leg is a liquid scheme. It works as a multi – leg composite order where based on the Margin of Safety Index (MosDexTM) of the Equity scheme, automatic adjustments are made between the equity schemes and the liquid scheme. The values of the MosDex will range from 0 – 200, 100 being the average level of margin of safety. So, in simple words, it follows the principle of Margin of Safety. This value averaging mode of investing with SmartSIP is far superior to the dollar cost average mode of investing with traditional SIP.

RankMF SmartSIP is a massive upgrade to traditional way of SIP investing as it has the potential to generate significantly higher returns with correspondingly lower risk. It is now available for over 350 + regular equity schemes. The table below would give a comparison of traditional SIP on one of India’s most famous equity fund scheme with RankMF SmartSIP

SAMCO Securities - Company Profile

SAMCO Securities Limited, a fintech start-up headquartered in Mumbai is one of India's fastest growing companies in the Discount Broking Industry with over 1,00,000 customers.  The company aims to solve problems of its customers at an affordable cost who actively trade or invest in the Indian capital markets with the use of algorithm, data science and artificial intelligence. SAMCO strives to provide some of the most unique margin products to enable its customers to make the most efficient use of their capital and dodge complex problems like high brokerage and inefficient capital allocation that plague the trading and investing industry.

Earlier in 2018, the company had raised $7.5 Mn (INR 49 Cr) in a Series B funding round from existing promoters and London-based investment management firm Bay Capital Investment Partners. Prior to that Series A funding of $3 Mn (INR 20 Cr) was raised by the company in FY 2016.

The various investment tools offered on SAMCOplatform such as StockNote and Rank MF, ease the process of saving and creating wealth.

About RankMF: RankMF is an innovative and first-of- its- kind research cum distribution platform in India that objectively and scientifically evaluates mutual funds schemes using proprietary algorithms and big data science considering over 20 million data points covering all available 1000s of mutual funds schemes for investors that would otherwise be humanely impossible. RankMF is Revolutionizing the Selection of “SAHI” Mutual Funds at “SAHI” time to guide regular Investors to know the “most important” investment guidance “kaunsa mutual fund sahi hai”.

About StockNote: StockNote is a first-of-its-kind, easy-to-navigate content streaming and trading platform that aggregates and delivers news and information about stocks and sectors across India.StockNote is powered by the proprietary Giga Trading Engine, which combines artificial intelligence with powerful computing and analytical technology. It identifies important facts, trends and patterns in the stock markets and presents them as simple, filtered stocknote feed stories.Its uniqueness lies in the ‘trading’ feature that allows users to not just consume information, but also trade at a single touch. Additionally, the user is also benefited with real-time assistance at every step.