The investment philosophy of ENORA is based on the belief that an algorithmic or systematic approach to trading will yield superior returns over a period of time when compared to conventional ad-hoc 'got a feeling in the gut' methods of investing.
The Fund seeks to invest primarily in instruments that, in its view, have reasonable liquidity. Accordingly, the Fund may deploy its capital in options, futures contracts, short sales, swaps, forwards and other derivative instruments which are traded on exchanges and have reasonable liquidity.
In addition the Fund may trade in INR currency derivatives through non-deliverables futures facilitated through banks, non-banking financial institutions, authorized dealers etc. and also in Indian ADR (American Depository Receipts) or GDR (Global Depository Receipt) if any opportunity arises in the same due to mispricing of the quoted values.
The Fund may also invest in rated and unrated bonds or Government securities approved by the stock exchanges to be used as margin for trading and may invest in initial public offerings to take advantage of listing gains.
The Fund will not seek any limit on its gross exposure but it will not borrow any funds for providing margins to the brokers for same. The Fund will aim to increase its gross exposure by trading through Futures and Options. The exposure would be limited by the margins paid to the brokers and the exchanges for taking the trading positions of the Fund. If an opportunity arises the Fund may also utilize hedging techniques as a means of seeking improved risk-adjusted returns.
The Fund is approved as a Foreign Portfolio Investor in India.
** Disclaimer: Investment objectives may differ from investment to investment, Class to Class, and Portfolio to Portfolio. The Board may modify the investment strategies and policies of the Fund at its sole and absolute discretion