Our Multi-Asset Quant Strategy employs a systematic, rules-based approach to dynamically invest across asset classes. This strategy aims to generate superior returns during risk-on periods while diversifying risk during risk-off periods, enabling us to sustainably capture alpha across market cycles.
Navigate through economic ups and downs effectively and allocate across assets classes tactically.
This helps in capitalizing on market opportunities while keeping investors risk tolerance in mind.
Domestic Equity
International
Gold
Fixed Income
Enhances performance
by 80%^
Drives 91%* of
performance
Enhances alpha generation
& risk management
Source: ^PL, *Brinson, Hood, Beebower. “Determinants of Portfolio Performance”. Financial Analysts Journal. July-August 1986;
Brinson, Singer, Beetbower. “Determinants of Portfolio Performance II: An Update”. Financial Analysts Journal. May-June 1991.
Dynamic asset allocation offers better diversification and has the potential to provide higher risk-adjusted returns. By relying on a quant-based framework, PL’s MADP Alpha ensures that the investment is made in the right asset at the right time using the right factors.
The 6S and 6F Framework form the core of investment asset allocation strategy. It serves as the foundation upon which we build a robust strategy for achieving superior overall returns, while considering valuations, investor sentiments, risk management, global macros and market trends.
Designed for Systematic Alpha Generation 
Favorable Value
Favorable Sentiment
Favorable Trend
Favorable Macros
Favorable Monetary Dynamics
Favorable Risk Environment
Style Agnostic
Sector Rotation
Superior Fundamentals
Sound Valuations
Strong Technicals
Smart Risk Management
Our multi-asset investment portfolio follows a structured approach to investment decision-making. It is tailored to achieve higher returns and dynamically adapts to the changing conditions of the market. The strategy tactically increases exposure to those assets classes with favorable risk reward and reduces exposure to those with less favorable risk-reward
In this dynamic and interconnected world with smart phones, smart TVs, smart cars and smart homes, we bring to you smart investment strategies. It eliminates emotional and behavioural biases, rigorously tests performance, dynamically adapts to changes, and relies on data-driven frameworks for enhanced reliability
PL’s proprietary factors make up the fundamental building blocks of our strategy. It underpins the investment decisions and the framework for constructing effective portfolio management strategies. The investment portfolio is guided by the multi-factor 360 model, which provides a balanced exposure to all these factors.
Multi Asset Dynamic Portfolio – Alpha is our quant-based PMS strategy that employs a systematic, alpha-focused, rules-based approach to dynamically invest across asset classes. This multi asset allocation strategy aims to generate superior returns during risk-on periods while diversifying risk during risk-off periods, enabling us to sustainably capture alpha across market cycles. The investment is made across Domestic & International Equities, Gold and Liquid Funds
Dynamic Asset Allocation strategy refers to an investmentstyle where the asset mix in the portfolio is adjusted – dynamically – to take advantage of market trends.
MADP Alpha is a multi asset allocation strategy that relies on a dynamic multifactor investment framework designed for systematic alpha generation. The focus is on generating sustainable and repeatable alpha, across market cycles.
A multi-asset fund invests in more than one asset class. PL PMS offers two quant-based multi-asset PMS strategies: MADP and MADP Alpha. Multi Asset Dynamic Portfolio – Alpha is our quant-based PMS strategy. It identifies the phases of wealth creation to ensure the investment is made in the right class, at the right time. With its quant-based, process-driven approach, MADP Alpha aims to generate superior returns during risk-on periods while diversifying risk during risk-off periods, enabling us to sustainably capture alpha across market cycles.
Dynamic Asset Allocation strategy is a portfolio managementstrategy wherein the investment is made across multiple asset classes. MADP Alpha aims to get it right by integrating:
Here’s how the asset allocation works:
1. Determine Equity strength using the Dynamic Multi-factor Model based on the 6F framework to arrive at equity & non-equity allocations
2. Allocate to Domestic equities proportional to the equity strength ratio. The balance is allocated between Gold, International & Liquid Funds
3. Invest in a 25 stock portfolio using a holistic Multifactor model based on the 6S Stock Selection framework
4. Allocate to International equities, if Domestic equities strength is low, but International equity strength is high
5. For non-equity allocation, Invest in Gold if Composite Gold signal is buy. Invest in Liquid bees if Composite Gold signal is sell
6. Review asset allocation model every week for responsive risk management. Review Stock Selection dynamically on a sub-quarterly frequency to rebalance the portfolio to stay aligned to market realities
Rebalancing the asset mix in the portfolio as per market trends enables investors to prevent losses emerging in a single asset class, and also capture potential gains in another asset class. Our MADP Alpha PMS identifies the phases of wealth creation to ensure the investment is made in the right class, at the right time. Here are the key reasons why you should invest in MADP Alpha:
PL’s MADP Alpha aims to generate superior returns during risk-on periods while diversifying risk during risk-off periods, enabling us to sustainably capture alpha across market cycles. It thus enables investors to earn superior risk-adjusted returns.
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