Gold
The MADP Investment Philosophy
M
Multi
Invests across equities, debt and gold for diversified exposure
A
Asset
Focused on tactical asset allocation to drive outperformance across
market cycles
D
Dynamic
Utilizes a systematic, rules-based, quantamental investment process for active rebalancing
P
Portfolio
Engineered to generate superior returns in bullish markets while safeguarding capital in downturns.
What makes MADP stand out?
No single asset class consistently outperforms across market cycles. While debt outperformed other asset classes in 2016, gold outperformed in 2022, and domestic equities outperformed in 2021.
Top Performing asset classes in each calendar year
Gold
International
Gold
Domestic
Equities
International
International
Gold
Domestic
Equities
Debt
Debt
Domestic
Equities
International
International
Gold
Domestic
Equities
International
International
Gold
Domestic
Equities
Debt
Debt
Domestic
Equities
International
Domestic
Equities
Gold
Gold
Domestic
Equities
Gold
Domestic
Equities
Single asset class strategies expose investors to significant volatility and downside risk during unfavourable market conditions.
MADP is different.
It invests across asset classes from domestic and international equity, debt, to precious metals to build a diversified portfolio
Relies on a quant-based framework to dynamically invest across asset classes
Tactically invests to capture upside in favourable times and protect downside in challenging times
This helps in capitalising on market opportunities while keeping investors’ risk tolerance in mind.
The 3 Pillars of MADP
Right Asset
Right Time
Right Factors
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.
All Weather Diversified Portfolio that invests across Fixed Income, Precious Metals, Domestic & International Equities
Tactical Asset Allocation Strategy to capture upside in favourable times and protect downside in challenging times
Rules-based, timely and regular review
of the portfolio using a quantamental
approach to capture opportunities and
reduce risks
Multi-Factor Quant Model that captures macros, liquidity, trend, risk, valuations and sentiment to dynamically allocate across asset classes
Systematically Eliminates Risk through
passive exposure to asset classes via Index Funds or ETFs to eliminate stock and sector selection risk, fund manager risk and emotional biases
Superior Returns With Lower Volatility that beat inflation, debt, gold and equity indices returns over the long term while keeping the portfolio’s volatility very low
Adaptive across Risk on-off phases by going defensive to manage risk and generates returns by going aggressive at an opportune time
Performing Across Market Cycles by identifying opportunities across asset classes and allocating accordingly
Strategy Overview
-
Superior risk-
adjusted returns
across market cyclesDynamic multi-
asset portfolioRules – based using a
*Quantamental = Fundamental + Technical + Macros
Quantamental* approach
combined using Quantitative methods -
NIFTY MULTI ASSET
Open ended
7th June 2021
0
None
MADP is a great fit for…
For conservative-moderate investors who want to grow and protect their wealth over the long term with an investment horizon of minimum 3-5 years.
Where is your money invested?
Large, mid and small cap ETFs and index
funds
If domestic equities strength is low and international equity strength is high
If composite gold signal is ‘buy’
If composite gold signal is ‘sell’
MADP’s Proprietary 6S & 6F Investment Framework
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.
F
- Favourable Value
- Favourable Sentiment
- Favourable Trend
- Favourable Macros
- Favourable Monetary Dynamics
- Favourable Risk Environment
S
- Style Agnostic
- Sector Rotation
- Superior Fundamentals
- Sound Valuations
- Strong Technicals
- Smart Risk Management
Creators of MADP
MADP is the convergence of a multidisciplinary team in one strategy

About the Fund
Manager

Siddharth Vora
Head of Investment Strategies and Fund Manager, PL Asset ManagementAbout the Fund Manager
Siddharth believes that
“What Google Maps did to Navigation, Quant holds the potential to do to investing”
Siddharth was one of the first to recognise the potential quant and how technology and data can play a major role in the investment landscape of India. Hence, Siddharth spearheaded PL’s foray into the Quantitative Asset Management space.

Chairperson, PL
Asset Management

Head of Investment
Strategies and Fund Manager
PL Asset Management

Head of PMS Sales & Marketing,
PL Asset Management
Our PMS’ in the news
FAQs on MADP PMS Strategy
Multi Asset Dynamic Portfolio 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 investment style where the asset mix in the portfolio is adjusted – dynamically – to take advantage of market trends. MADP 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.
6F: Dynamic Asset Allocation to Navigate Market Cycles by Managing Risks for Sustainable Outperformance
- Favourable Value
- Favourable Trend
- Favourable Macros
- Favourable Sentiment
- Favourable Risk Environment
- Favourable Monetary Dynamics
6S: Dynamic Stock Selection for Repeatable Outperformance
- Style Agnostic
- Sector Rotation
- Superior Fundamentals
- Sound Valuations
- Strong Technicals
- Smart Risk Management
A multi-asset fund invests in more than one asset class. Multi Asset Dynamic Portfolio 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 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 management strategy wherein the investment is made across multiple asset classes. MADP aims to get it right by integrating:
- Right Factors: Enhances performance by 80%^
- Right Asset: Drives 91%* of the performance
- Right Time: Enhances alpha generation & risk management
Here’s how the asset allocation works:
- Determine Equity strength using the Dynamic Multi-factor Model based on the 6F framework to arrive at equity & non-equity allocations
- Allocate to International equities, if Domestic equities strength is low, but international equity strength is high
- For non-equity allocation, invest in Gold if Composite Gold signal is buy. Invest in Liquid bees if Composite Gold signal is sell
- 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
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