'Staying disciplined is what will make returns from equities'

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that time, which has helped the portfolio outperform the benchmark indices.

What has been the preference in the fee structure that people want? Has this changed in the past few months? What is the optimum structure you would recommend to clients?

It has been a mixed experience here. And the client demand is almost equally divided between preference for fixed fee and a combination of fixed fee and profit share. For PMS, it makes more sense for the investors and the manager to align their interest and work with a profit share model. In that sense, PMS is different from mutual funds, where there is a high touch point with the investors, and products are designed with very specific objectives in mind.

What kind of alternative investment strategies are you advising people to undertake? Are you looking at international markets for diversification?

At this point, I believe India is amongst the most attractive investment destinations, relative to most markets in the world. And the current fall in valuations makes it more prudent to increase equity exposure to India, if the risk profile of the investor permits. While the near term can test patience a bit, long-term economic and earnings growth stories in India are still quite attractive. Hence, a shift in allocation out of Indian equities into other asset classes, or other countries does not make sense.

How do you hope to combat the current market scenario, so as to negate the losses you have sustained so far?