Sandeep Patel: Investment Journey & Philosophy

A glimpse of my last four years of investment style/ journey. Prepare to be underwhelmed.

Sharing presentation from the VP Chintan Baithak Goa July 2016 -
Investment Journey - Sandeep Patel.pdf (565.8 KB)

To be honest I’ve been lucky -

  • Lucky to have won the ovarian lottery - born in India; >10% nominal GDP growth, 1.3B population, low base.
  • Lucky to have come across ValuePickr platform - one that focuses on good process. If you have got the process right, the results will follow.
  • Lucky to have access to different investment styles, experiences and methods used by successful investment gurus at the click of button.

As a student, am doing a simple task of working hard to read, understand, digest and apply the VP processes and invaluable experiences generously shared by investment gurus. Thankfully, have got passion and a bit of temperament. Has been an awesome journey so far. Hope the good run continues…

Thanks to everyone for the tremendous collaborative effort and knowledge sharing.

Cheers,
Sandeep

Current portfolio (Jan 2017) -

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Looks Excellent - VP kind of portfolio

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Awesome presentation. Very concise but each and every word worth is weight in gold. I am very sure if followed the advice will create huge wealth.

Many thanks

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I enjoyed reading the concise note and I like the portfolio too. I will surely steal the simplicity with which you have presented your thoughts.

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Sandeep is a very savvy long term oriented passive investor. I have had the joy of sharing a lot of time with him at VP Goa meet.

Good portfolio. I think with the kind of tracking of shrimps etc you do, I would have expected a higher allocation to Avanti.

regards
hitesh.

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Why you did not considered Metals and Oil related stocks ? Any specific reason

@lustkills Sandeep bhai - I am trying to find some good, reasonably valued companies in food industry. (especially organic segment). I am sure you are aware of the long runway ahead for the organic food industry in India. Do you like anything (not a tip seeker)…just trying to dig more into this sector as everything i find looks overvalued ;-)? Heritage foods, Hatsun, Tasty bites, ADF, DFM (not necessarily organic) are good businesses but extremely overvalued at the moment. Would love to hear your thoughts.

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@spatel Its been sometime since you updated this thread. I admire your way of constructing the portfolio and making those appropriate allocations.

Also what is your strategy in current euphoria scenario?

Rightly said @spatel. I infer that you are clearly focused on Consumption theme, isn’t it? Are you working on any such stories? Pls do share.

Rgds,
Advait.

@samirhuli and @Advait_6270

At a high level, strategy remains the same - Focus on size of opportunity, predictable sustainable earnings growth - double in three years type…

One change in strategy - Tuning mind to focus more on domestic business, less on export heavy business.

India has one of the fastest growing middle class. At current rates of growth, by 2021/22 India may have as many households with disposable income of $10,000+ as the U.S. or the eurozone. Exciting times ahead.

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@spatel

Great to get update on your portfolio. Just one unwanted advise. It seem you have too much concentrated on NBFC/HFCs with 5 of total 16 names being from that sector with Bajaj/Piramal/Edelweiss/Muthoot being 4 of top 7 seven holding.

Also, you may explore looking at metal/infra sector in your opportunistic part of portfolio in my opinion.

Good to see you have adpted learning technical analysis. I still do not have confidence in my skill :thinking:

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Hello @spatel,
Really liked ur portfolio update in Nov ‘17.
Would yu like to share the changes after this correction?
Regards

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Hello Dr,

Thanks. Will share in early May '18 (basically 6 months interval). Cheers.

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Sure. Wating for ur update
Regards

@spatel, Could you please update your PF.

Thanks for reminding @tarundsingh and @drgrudge.

  • Have made an attempt to switch to stronger names (with terminal value).
  • Had to let go few names for valuation concern. And few where things didn’t go the expected way.
  • Was easy to exit cyclicals. Not at peak, not at worst. Good leanings.

Plenty of opportunities around; not at no-brainer mouth-watering level though. Balancing risk-reward and capital allocation remains the key (more so in current times).

Cheers,

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Hi Sandeep, can you share your
update PF?

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Hi Vipul (@vipul_011)… Will do in Christmas holidays… Basically, 6 months interval… Cheers…

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hi sandeep, can you share ur portfolio

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@vipul_011 and @sanu1802 - Thanks for the ask and reminder.

  • Concentrated in the limited sectors; bit diversified within.
  • Tweaked few names based on (my perception of) earnings visibility.
  • GARP; double in three years type with some optionality.
  • Have made an attempt to be stock specific regardless of MCAP (large/mid/small).

Learning to navigate this volatile period. Bullish. At the same time on tose because of interest rate cycle. Interesting year ahead - mix bag of opportunities and risks. Cheers.

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