The Big Whales Report for the December quarter is out! (Click here)
There are investors and then there are investors. But the biggest of them all come in and make waves when they buy or sell. We call them the Big Whales.
They’re people like Rakesh Jhunjhunwala, who made a small fortune on Titan up into a massive fortune for himself through excellent stock picking.
There’s Catamaran, Infosys’ ex-chairman and founder Narayan Murthy’s vehicle to participate in the Indian markets.
There’s Ashish Kacholia, Vijay Kedia, Dolly Khanna and a bunch of other excellent investors out there.
In Big Whales (Dec 2017) we bring you the list of many such investors with their holdings. (The exchange reveals holdings that are more than 1% of the company). We don’t know all that they hold, but where they hold more than 1% we see the holdings change or add to themselves over months.
You will only see the Big Whales report if you’re a member of Capitalmind Premium (trial users don’t get access just yet). But let’s take you through a bit of the interface.
Fresh Buys and Exits
Across the set of investors we track, we summarize the buying and selling by stock/investor. The idea is to see which new stocks have entered investment portfolios:
Note here that exits doesn’t mean they’ve sold everything. It just means they’ve fallen below 1% (below which the companies will not report their names).
That Stock Portfolio Example: Ashish Dhawan
Click on an investor name and it takes you to a page in the portfolio. Ashish Dhawan, the Chrys Capital boss has had an impressive run and has a portfolio of over Rs. 800 cr. Here’s his known large positions as of December 2017:
Which shows you he’s bought more in South Indian Bank, but cut some positions in JB Chemicals, VMart Retail and Magma.
How Does Big Whales Help?
Big Whales is primarily a discovery tool. It helps people find stocks that the big investors just got into. For example, in the December quarter, Professor Sanjay Bakshi’s Valuequest Capital entered into Narayana Hrudayalaya’s big investor list. That’s an interesting take because NH hasn’t done much since it’s IPO.
Does Prof. Bakshi know more than the market? He has, on many occassions. But it’s worthwhile to start looking at NH now in terms of valuations – the fact that a big investor has bought helps with identifying new companys to research. But the research is still required.
It would be really silly to just blindly buy anything in this list because some investor has bought more. Trust no one; they are the caretakers of their own money, not yours. You still have to work the metrics, but at least you have a stock to start with.
Sectoral plays are interesting too. Are many investors targeting the same sector? Have they been buying many stocks in the same sector? It’s good to get an idea, just to see if there are some that are in favour.
The other thing we do not advise doing is to replicate their portfolios. The data, by the time you get it, is about 3 months old. And then, they have different allocations. You might find it difficult to track when who’s exiting what, since the next real data point will only be available in May.
There are 35 investors in total that we track. But note that this is neither comprehensive nor exhaustive.
We hope you like it! Click here to access, and let us know what you think! (At #stock-fundamentals on Slack)