Your edge in the wild-wild world of markets
Beating the markets is tough. Y2 Capital provides research to give you the edge for compounding your capital faster than the market. We do that by systematically exploiting 2 key market anomalies - Momentum and Value.
About Y2 Capital
Y2 Capital is run by Kushank Poddar and involved in providing investment research services.
In the day, Kushank is a sales and strategy director at an AI exciting startup. But in the night, like Batman, he works to save Gotham form the crime of sub-part investment returns by honing and deploying his humble superpowers of thorough investment research.
In terms of credentials, Kushank is an engineer from IIT Kharagpur and experience of the trade while doing stock research for institutional clients while working at J. P. Morgan and Ambit Capital.
The Investment Approach
Opportunistic Value Bets | Long Term Momentum Investments | Quality Universe | Concentrated Bets
Studies show 80% of actively managed funds (mutual funds, PMSs) unperformed the broader market over long term horizon. With this challenging backdrop, we aim to help clients achieve above-market returns consistently by following a process that exploits key market anomalies - Value and Momentum.
The 'edge' in Y2's approach is the ability to follow a systematic investment process with minimum influence from personal biases and emotions.
Markets are usually efficient, but sometimes they react in extremes thereby making stocks under-priced vs conservative value estimates based on fundamentals. This approach was pioneered by Ben Graham in 1920s. The value approach seems to be out of favor today, but we think it still has 'value'. Through fundamental research expertise, we recommend some value-driven investments in companies we understand well.
In the absence of strong value opportunities, the default strategy is momentum - which is riding of 'long term' trends in stock prices till they run out of steam. While short term momentum has and will be arbitraged away by algorithmic trading, we believe long term momentum investing will still offer opportunities for out-sized gains in future.
Secure Playing Field
Y2 Capital focuses on an investment universe of fairly large companies (market cap more than 1,000 crore) with good accounting and management practices. Through this quality focus, we have evaded many market landmines in the past.
With excess diversification, the portfolio becomes an index and cannot give higher than market returns. Our Yin and Yang model portfolio invests between 8 to 20 stocks, thereby not diversifying away the chances of out-sized gains.
Y2 Value-Momentum Portfolio
Model Portfolio Recommendations which can be subscribed by clients through two alternatives.
DIY Research Subscription
Through this option, you can directly subscribe to research recommendations for the model portfolio and make trades in your own broker accounts. This requires a time commitment of ~ 15 minutes per week.
Through Y2 Capital's Smallcase, the recommendations can be implemented on your borker accounts through the click of a button. Requires time commitment of ~2 minutes per week
Want to know how you can leverage my expertise to potentially earn higher than market returns? Do reach out...
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