Gurugram-based wealth management firm Prudent Equity has announced the launch of its maiden fund, aiming to raise upwards of Rs 500 crore over a tenure of one year.
"We have already raised Rs 125 crore for our open-ended fund as of now. We hope to raise Rs 500 crore in CY23," Siddharth Oberoi, founder and chief executive officer of Prudent Equity said in an interaction with VCCircle.
The category-III alternate investment fund, Ace, will be sector agnostic and will focus on small and mid-cap companies with diverse themes.
The fund’s investment traits will include prudent capital allocation, margin of safety, high standards of corporate governance, the company said in a statement.
“Basically, equities in the listed space will be our target of investment. The model that we will follow is first identifying the intrinsic value of the company and then buying it at a substantial discount to the value.
We believe we have an opportunistic investment approach that offers a rational approach to building wealth. The goal is to buy those stocks that increase capital at high rates over long periods while employing less risk,” Oberoi added.
Founded in 2012, Prudent Equity focuses on serving individuals, family offices, high net-worth individuals (HNIs) and corporates by providing advice on their equity investments.
“Consumerism is at a peak in India. Due to the One-China policy, many countries have adopted to other sources and that has helped India. Also, the energy crisis in Europe has led to a shift in manufacturing in India. All these are propelling high consumption in India,” Oberoi said.