| Smart Portfolios slips amid volatility |
| Rex Cano / Mumbai February 1, 2010, 2:28 IST |
High volatility was the highlight of the week under review. Last week, there were many events which had direct impact on the markets - global cues, a few disappointing earning numbers, futures and options expiry and RBI’s policy review.
The Smart Portfolio’s benchmark S&P CNX 500 index shed 3.6 per cent during the week. Thus, its portfolio value depreciated from Rs 11.23 lakh to Rs 10.82 lakh. However, the net worth is still up 8.2 per cent since the inception of Smart Portfolios on September 1, 2009.
Another highlight for Smart Portfolios was a change in guard from Edelweiss.
Vinay Khattar, head – Research of WAIS (Wealth Advisory and Investment Services), has replaced Praveen Panjwani who has moved out of Smart Portfolios. Panjwani has moved on to higher responsibilities with the mutual fund business of the Edelweiss Group.
Hence, given his time constraints on actively managing the portfolio as well as the SEBI regulations governing mutual fund employees, it was difficult for Panjwani to continue.We wish him luck, and look forward to Vinay Khattar who has taken over Panjwani's portfolio.
For the week, Phani Sekhar and Vinay Khattar's performance was more or less the same compared to the benchmark, as both ended with losses close to 4 per cent each.
However, Ajay Parmar and Amar Ambani outperformed the benchmark with losses limited to around 2 per cent each. One common link among the fund managers was that, barring Phani Sekhar who stayed on the sidelines, they all have raised their individual cash levels.
CASH RICH
Ajay Parmar
Head Research Institutional Equities, Emkay
Ajay Parmar sold stocks worth Rs 71,200 (net) last week. His gross purchases for the week totalled Rs 1.03 lakh, as against his gross sales of Rs 1.74 lakh. He bought Orbit Corporation and Cadila, while sold Dalmia Cements, Nucleus Software, HBL Power and Gujarat NRE. He has exited from these stocks for losses which ranged 4-17 per cent. The biggest loss was in HBL Power at 17.3 per cent and least in Gujarat NRE, at 3.7 per cent. Parmar now holds five stocks in his portfolio, of which Deccan Chronicle is the major loser, down over 13 per cent from his cost price. Orbit Corporation is up 3.5 per cent. Parmar's net worth now stands at Rs 12.16 lakh, up 21.6 per cent, and he holds Rs 10.23 lakh cash.
| Top Holdings | % of assets | Cost Price (Rs) | Current Price (Rs) | Value (Rs lakh) |
| Cadila Heath | 4.41 | 711.00 | 714.45 | 0.54 |
| Orbit Corp | 4.20 | 281.90 | 291.90 | 0.51 |
| Deccan Chronicle | 3.04 | 171.00 | 148.00 | 0.37 |
| Sesa Goa | 2.85 | 359.45 | 346.75 | 0.35 |
| HEG | 1.40 | 376.21 | 341.10 | 0.17 |
| Total investments | 15.87 | - | - | 1.93 |
| Cash | 84.13 | - | - | 10.23 |
| Net worth | - | - | - | 12.16 |
| Returns (%) | 21.63 | - | - | - |
SELL MODE
Amar Ambani
Vice President (Research), India Infoline
Amar Ambani liquidated some of his holdings to increase the cash levels. He was a net seller of stocks worth Rs 1.99 lakh, with gross sales totalling Rs 3.85 lakh as against gross purchases of Rs 1.86 lakh. Barring, Havell’s India and Dredging Corp, where he gained 6.7 and 2.6 per cent respectively, Ambani has exited from other stocks for a loss of 3-15 per cent each. The worst performer has been Allied Digital (down 15 per cent) and the best, Rallis India (down 2.8 per cent). He holds six stocks of which Fresenius Kabi is the major loser, down 20.4 per cent. Ambani's net worth now stands at Rs 12.23 lakh and he holds Rs 9.41 lakh cash.
| Top Holdings | % of assets | Cost Price (Rs) | Current Price (Rs) | Value (Rs lakh) |
| Sun TV | 4.27 | 380.00 | 386.50 | 0.52 |
| United Spirits | 4.04 | 1252.20 | 1234.95 | 0.49 |
| Educomp Sols | 4.03 | 686.70 | 704.45 | 0.49 |
| DLF | 3.82 | 330.15 | 333.65 | 0.47 |
| STC India | 3.58 | 494.45 | 514.60 | 0.44 |
| Total investments | 23.03 | - | - | 2.82 |
| Cash | 76.97 | - | - | 9.41 |
| Net worth | - | - | - | 12.23 |
| Returns (%) | 22.26 | - | - | - |
ON THE SIDELINES
Phani Sekhar
Fund Manager - PMS, Angel Broking
Phani Sekhar remained on the sidelines last week. His cash levels are at near zero levels, just Rs 30, and portfolio is now valued at Rs 10.54 lakh, up 5.4 per cent. He has 14 stocks in his portfolio, of which seven are trading above cost price. His best pick is eClerx - up over 31 per cent - followed by Sunil Hitech and Axis Bank. On the other hand, Reliance Infrastructure is the major loser, down 12.6 per cent. It is followed by Bharti Airtel (down 10.4 per cent) and IDFC (down 8.3 per cent).
| Top Holdings | % of assets | Cost Price (Rs) | Current Price (Rs) | Value (Rs lakh) |
| eClerx | 11.99 | 344.25 | 451.35 | 1.26 |
| Federal Bank | 10.41 | 244.54 | 255.05 | 1.10 |
| Axis Bank | 9.73 | 901.30 | 1025.70 | < |
