ArthVeda's Buffett Inspired Smart Beta Beats All Hedge Funds Globally In 2014
"Alpha India L50" is ranked #1 strategy in 2014 out of 11,200 hedge funds across the globe.
- (1888PressRelease) April 04, 2015 - Smart Alpha, a variant of Smart Beta, is a rules-based investing methodology based on Warren Buffetts' value-investing principles designed to harvest pure-alpha, i.e. risk-free -returns along with the fundamental returns of the underlying businesses. Postulated by ArthVeda Capital, Smart Alpha based "Alpha India L50" is ranked #1 strategy in 2014 amongst long-bias, equity strategies by the Preqin Annual Global Hedge Fund Report 2015.
Preqin is the global "go-to-portal" for informed decision-making on alternative and hedge funds by Pension funds and Sovereign Funds.
Commenting on this achievement, Dr. Vikas Gupta, EVP and & Fund Manager of Alpha L50 said, "This ranking proves that low-risk, long-only, rules-based, value-oriented strategies perform better than the riskier, highly leveraged and complicated strategies typically employed by hedge fund managers. Smart Beta can beat Dumb Alpha."
Mr. Bikram Sen, CEO, ArthVeda , said, "I am very proud of this recognition given to ArthVeda's equity product by Preqin. The ranking given to Alpha L50 is a testimony to our philosophy of providing the best Risk adjusted return to our investors. We have achieved the same pole position amongst Real Estate funds in India. Our DREAM and STAR, are among the best performing Real Estate funds in India with significantly lower risks"
Ms. Amy Bensted, Head of Hedge Fund Products, Preqin said, "The Indian alternative fund market has witnessed rapid expansion in the past year as a result of the growing opportunities in the markets in the region. It has been reported that the Indian alternative fund sector has nearly doubled over the course of 2014."
Elaborating further, Dr. Gupta said, "Smart Alpha is a highly structured investment framework that successfully marries the value investing philosophies of masters such as Warren Buffett and Peter Lynch with rigorous evaluation techniques and rules-based approach of academic finance. The degree-of-undervaluation-weighted allocation in Smart Alpha works across all major developed markets [.ARTHUS500T, .ARTHUK100T, .ARTHEUROT, .ARTHJAPANT] in addition to emerging markets like India. For example, ArthVeda Alpha US500 [.ARTHUS500T] beats even Buffett's Berkshire Hathaway [BRK.B]. Since Smart Alpha harvests discounts to intrinsic value it generates 2-10% excess returns over the markets compared to the typical Smart Beta's excess returns of 0-2%."
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