Home / Markets / News / Secret behind stellar performance of India's oldest, smallest quant fund

Secret behind stellar performance of India's oldest, smallest quant fund

Even as profit expectations got smashed due to the pandemic, the Nippon India funds model fared better as it didn't have earnings estimates in its quantitative model

tax, cash, fund, returns, savings, investment, investors, rupee,

Premium

Nippon’s model places half of the emphasis on growth and quality factors while picking stocks

3 min read Last Updated : May 20 2020 | 1:50 AM IST

India’s oldest equity quant fund that offered lacklustre returns for years outperformed most of its peers in 2020 amid the decade’s worst market rout. The secret lies in its investment model.

The 12-year-old Nippon India Quant fund, which is also among the nation’s smallest, dropped about 15 per cent this year, compared to a 27 per cent decline for the benchmark S&P BSE Sensex. When India shut down its economy to check the spread of coronavirus, the fund fared better than nine out of 10 equity mutual fund plans, while the sector as a whole clocked an average loss of about

Topics : Quant funds Nippon Asset Management

What you get on BS Premium?

Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
Pick your 5 favourite companies, get a daily email with all news updates on them.
Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
Preferential invites to Business Standard events.
Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.

VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in