Introducing Alpha_10 Midcap: Unleashing the Power of Momentum Investing
Introducing Alpha_10 Midcap, our latest investment portfolio designed to harness the momentum in midcap stocks and generate substantial alpha returns. This blog explores the key highlights, the concept of alpha, and what makes Alpha_10 Midcap unique.
Key Highlights
- Concentrated Portfolio, Higher Returns: Alpha_10 Midcap offers returns by focusing on select large-cap stocks, increasing the potential for alpha generation.
- Active Management with Weekly Rebalancing: This strategy is actively managed with weekly rebalancing to keep your portfolio in sync with evolving market conditions.
- Established Universe, High-Quality Mid-Cap Stocks: We include high-quality large-cap stocks to diversify risk while maintaining a focus on established companies.
Understanding Beta and Momentum Investing
The beta of a portfolio is a measure of its risk, or how much it can go up or down relative to the market. We focus on high-beta stocks which have a tendency to go up. Thus whenever the market moves by X, we tend to move by 1.2 times X
Momentum is the tendency for a stock or other asset to continue moving in the same direction it has been moving in. It has been a time-tested observed phenomenon.
Therefore, to generate the alpha, we combine a selection of high-momentum stocks into a concentrated portfolio of 10 stocks which results in a high beta and thus, a higher return than the benchmark
Alpha_10 Midcap in Detail:
Midcap stocks are often seen as companies in their high-growth phase, poised for expansion. They have already surpassed the challenges of small caps and possess greater resources for growth. While midcaps carry more risk compared to large caps, they are also less risky than small caps.
Alpha_10 Midcap is a concentrated momentum portfolio that undergoes weekly rebalancing. Our quant-based strategy scans the top 0-100 companies in Nse and meticulously selects a portfolio of 10 promising stocks for your investment. The weekly rebalancing ensures that underperforming stocks are replaced, keeping your investments aligned with the ever-changing market dynamics.
Performance Insights:
Here is the performance comparison of Alpha10_Midcap with the benchmark index Nifty50, to bring out the stellar performance that underscores the potential for alpha generation:
Year on Year performance of Alpha Midcap against Nifty100
Who Is Alpha_10 Midcap For?
This strategy is tailored for investors with a moderate risk appetite. Its universe comprises the top 100 midcaps from Nifty, serving as an initial screening process for legitimate stock selection. Alpha_10 Midcap is an ideal choice for those who aim not only to outperform the benchmark Nifty50 but also have the willingness to accept moderate risk to achieve their investment goals.
Ready to explore Alpha_10 Midcap further? Visit the link below for more details and start your journey towards potentially higher alpha returns.
Embrace the momentum of change, and let your investments ride the waves of opportunity. With Alpha_10 Midcap, your journey to financial success begins now.
