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This top-performing Indian hedge fund says stocks have risen too fast

True Beacon, which invests only in large-cap stocks and is up about 21% this year, is adding shares of software exporters and pharmaceutical companies

Top-performing hedge fund turns cautious, says stocks have risen too fast

The Nifty 50 index has bounced about 50% since the coronavirus-induced swoon in March, beating the Asia Pacific benchmark and almost on par with the gains in U.S. shares.

Nupur Acharya and Ronojoy Mazumdar | Bloomberg
A top-performing Indian hedge fund that was bold enough to load up local shares in the depth of the March selloff is now turning cautious on the country’s stock market after a stellar rebound.

True Beacon One, which manages about Rs 3 billion ($40 million) of Indian equities, has trimmed its bullish bets on stocks and is keeping 80% of its investments hedged, according to Nikhil Kamath, the co-founder and chief investment officer of the fund. The one-year-old fund has outperformed the NSE Nifty 50 Index by 29% this year, making it one of the best performers among local peers,

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First Published: Aug 20 2020 | 8:31 AM IST

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