Smart People

SMART EYE

Roller-coaster rides may be more suited to describe the performance of equity markets.

But that is what Rajiv Anand, head of investments at India's only pure debt mutual fund, Standard Chartered Asset Management Company, loves to do when he is free from the cares of managing his funds.

There is clearly more to Anand than meets the eye. The perception of debt fund managers being risk-averse does not apply to the man.

"We manage risks, too, thereby ensuring that investor expectations are met," says the 38-year-old fund manager.

A chartered accountant by training, Anand joined the treasury department of HSBC in 1991 and fixed income has been his world ever since.

From HSBC Anand joined Grindlays' treasury operations before becoming a vital part of the team that set up the mutual fund arm of Grindlays, which is the present Standard Chartered AMC. So is fixed income where he always wanted to be? The surprise answer is no.

"When I qualified, HSBC happened to give me a posting in treasury. It was not because of any great desire, vision or ambition that I moved into fixed income. That happened purely by chance," says Anand. And he has no regrets whatsoever.

"Debt markets have clearly evolved ever since. The levels of complexity has increased considerably over the last few years," he adds. As for debt investors, Anand has a word of advice.

"The focus should be on capital preservation. Debt funds will give the best returns in the fixed income world," he says.

But it's not all about work. A jazz and rock music lover, Anand spends a lot of time reading and watching movies. Though he doesn't rule out trying out equities sometime in future, Anand is passionate about his current job. Is he a risk-averse individual like most debt fund investors? "Not really, but don't expect me to go bungee jumping!"

Married with two daughters, Anand takes off for two weeks every year to spend holidays with his family. The last vacation was to US and that is where the roller-coaster bug hit him.

A DJ disguised as a fund manager - howzzat? Aditya Palwankar, fund manager with JM Mutual Fund, is a DJ and an ardent cricketer rolled into one. His colleagues swear by his 'DJaying' skills which keep their in-house parties rocking.

This time around, however, Palwankar is set to play a different stroke as fund manager of two open-ended equity funds launched by JM Mutual Fund recently - Auto and Auto Ancillary Sector Fund and Pharma Sector Fund. What's special? One might ask. This is how - both these sectors are more or less insulated from uncertainties on the policy front and political interference.

Besides, after last year's broad-based rally, Palwankar expects movements only in selective sectors this year. Auto ancillary and pharma are best placed.

Auto ancillary companies have huge order-book positions lined up and are a part of a huge export story. Besides, with new pollution control norms setting in, replacement demand in the domestic market is expected to rise steadily.

Pharmaceuticals, too, are an export story. Within the sector, mid-cap pharma companies are expected to see big re-ratings as they start spending more and more on research and development, says the fund manager.

Coming back to Palwankar, we wonder what a DJ-cum-cricketer is doing in a fund house. "Fund management has been a dream job for me," pat comes the reply. One is not surprised when he discloses that his father worked with UTI for more than 25 years. It is in his genes, you see.

Palwankar completed his masters in business administration from Mumbai University after graduating in commerce. He joined UTI Securities' investment banking division in 1998 and continued there for three years.

In 2001, he joined JM Mutual as fund manager. Since then there has been no backtracking from equities.

Cricket is Palwankar's prime passion. "I am a batsman," he says with a glint in his eyes, though his colleagues insist that he is an all-rounder. He travels a lot around Mumbai and enjoys driving his Fiat Palio. His latest passion, however, is dancing - dancing with his one-year-old daughter. Investors would like to see how well his portfolios dance to his tunes.