January 2019

Portfolio Management Services

Ambit Good & Clean Smallcap Fund

(Emerging Giants)

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Ambit Investment Advisors Pvt. Ltd.
 Why Small caps?

The BSE500 experiences heavy annual churn: On average, as Small caps have outperformed their larger peers
much as 30% of the BSE 500 constituents get churned over a 5 year
historically in India
period*
30%
Top50 Top 500 Small-Cap (501-1500)

Moreover, the bulk of the outperformance for BSE500 entrants 27.3%
occurs prior to their entry in the index!
25%

Relative performance of BSE500 inclusions pre and post inclusion 20.7%

20.1%
20% 18.2%

80% 75.2% 14.9%

15% 13.6%
70%
10.3%
60% 9.7%
49.5% 10% 7.8%
50%
41.2%
40% 5%
30%
20% 0%
15Y CAGR 10Y CAGR 5Y CAGR
10%
0%
-10%
Method: We calculate returns by assuming a purchase of three
-9.0% -7.5% -9.3% baskets of stocks – Top 50 (largest 50 stocks by market-cap), Top
-20%
Year -3 Year-2 Year -1 Year +1 Year+2 Year +3
500 (largest 500 stocks by market-cap) and Small-caps (501-
1500 ranked stocks by market-cap). Stocks are rebalanced
Median CAGR of BSE 500 Inclusions (Relative to BSE 500) annually each July end as per the bucket criteria over July’2003-
June’2018. Equal amounts are assumed to be allocated to each
stock. Dividends received are reinvested.
Source: Bloomberg, Ace Equity, Ambit Capital Research. Relative returns (to BSE
500) are medians CAGR of stocks that have been included in the BSE 500. For prior

Transaction costs assumed: 3% for Small-caps; 1% for
returns, returns are measured until 1 quarter preceding the quarter of entry . Top500 and 0.5% for Top50
Period of BSE500 constituent data analyzed – 2002-2018.Only firms with both pre
and & post inclusion pricing data are considered.
*Annual 5 Year churn over 2002-2013 (closing period ends in 2018) Source: Bloomberg, Ace Equity, Ambit Capital Research.
Ending Period June 30, 2018.
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Ambit Investment Advisors Pvt. Ltd.
 Price discovery is inefficient in small caps
Analyst coverage (ANR) is sparse for small-caps, and Resulting in valuation disconnect with fundamentals
liquidity is a challenge too

60 60

No. of Analyst covering the stock (ANR)

Zee Zee
50 50
entertainment
No. of Analyst covering the stock (ANR)

entertainment
ANR:38; ADV: ANR:38; P/E 35x
Rs1,121m
Jubilant
Jubilant Foodworks
40 Foodworks 40
ANR 32; P/E 93x
ANR 32; ADV:
Rs2,655m

30 30

TV Today
Garware Wall Network
Ropes ANR: 5; P/E 21x
20 20
ANR: 1; ADV:
Rs23m Garware Wall Panasonic Carbon
Ropes ANR:1;
TV Today Network ANR: 1; P/E: 22x P/E 22x
10 ANR: 5; ADV: Panasonic Carbon 10
Rs108m ANR: 1;
ADV:Rs2m

0 0
0 200 400 600 800 1,000 1,200 1,400 0 200 400 600 800 1,000 1,200 1,400
Market Cap Rank Market Cap Rank

Size of bubble signifies ADV- Average Daily Traded value (6 months) Size of Bubble signifies FY2018 P/E Ratio (x)

Source: Bloomberg, Ambit Capital Research. Data s of June 30, 2018 Source: Bloomberg, Ambit Capital Research.

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Ambit Investment Advisors Pvt. Ltd.
 Good & Clean Smallcap Fund
(Emerging Giants)

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Ambit Investment Advisors Pvt. Ltd.
The Ambit framework for small-cap investing
Small-cap Universe ~1300 stocks
Stocks with a Market Cap between INR1-40bn

Ambit’s Forensic Accounting Screen

Eliminating companies with dubious accounting practices

1. Unit Economics Profitability per unit

• Do the unit economics make sense?

Growth runway
• How scalable are the company’s
2. Scale operations?

Viability of underlying business model

• Does the company generate enough
funds to sustain the business?
3. Sustainability
Cash generation
• Does sales growth translate into cash?

Virtuous cycle effect

• Is greater scale leading to greater asset
4. Feedback Loops efficiency?

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Ambit Investment Advisors Pvt. Ltd.
Ambit’s Forensic Accounting Framework (HAWK)
Ambit’s forensic accounting framework helps steer Within sub-BSE500 firms, accounting quality drives investment
clear of Small-caps with dubious financials performance

Category Ratios
25%
(1) CFO/EBITDA

Median Share performance over

“Zone of Safety”
(2) Volatility in depreciation rate 20%
(3) Volatility in non-operating income “Zone of
P&L misstatement checks (NoI) (as a percentage of net revenues) 15%

Dec’10-Dec’16
Pain” “Zone of
(4) Provisioning for doubtful debts as a
10% Darkness”
proportion of debtors more than six
months
5%
(1) Cash yield
(2) Change in reserves (excluding share 0%
Balance sheet misstatement premium) to net income excluding D1 D2 D3 D4 D5 D6 D7 D8 D9 D10
checks dividends -5%
(3) Contingent liability as a proportion of
-10%
net worth
(1) Miscellaneous expenses as a
Accounting Score based deciles
-15%
proportion of total revenues
Pilferage checks (2) CWIP to Gross Block
Source: Bloomberg, Ambit Capital research; Note: This chart plots the median share price
(3) Cumulative CFO plus CFI to median performance of sub-BSE500 firms with median accounting scores for deciles constructed
revenues only on the basis of accounting quality.
(1) CAGR in auditors remuneration to Period: Dec’10-Dec’16
Audit quality checks
CAGR in consolidated revenues

Methodology
We look at six years of consolidated financials for the BSE500 universe of firms. Ambit’s forensic accounting framework (HAWK) is a
We first rank stocks on each of the 11 ratios individually (outlined in the table
on the left) within a sector. proprietary tool only available to Ambit’s clients.
These ranks are then cumulated across parameters to give a final pecking
order on accounting quality for stocks within each sector

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Ambit Investment Advisors Pvt. Ltd.
Investment Process - Finding needles in the haystack
Small-cap Universe
Stocks with a Market Cap between INR1-40bn
Ambit’s Forensic Accounting Screen
Eliminating companies with dubious accounting practices

50%+ on each
Parameter
 Filtering Process
80th Percentile Overall

Filters for RoCE +
1. Ambit’s Forensic Accounting Screen: Eliminating
Debt ratios
‘Zone of Darkness’ candidates.

2. 50th Percentile Hurdle on each of the 5

Bottom-up stock research
parameters: Selecting companies well rounded in each

Industry analysis
parameter.

3. Total Percentile Rank>80%: An additional filter to

make sure that only the best are selected.

Channel checks &
4. RoCE>12%: Eliminating companies struggling to cover . management
meets
their cost of capital.

5. Net Debt-Equity Ratio <1.5x: Eliminating debt-laden

companies. 15 -17 Ambit G&C Smallcap
stocks (Emerging Giants)

Constant monitoring
& review
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Ambit Investment Advisors Pvt. Ltd.
 Look back at a 2012 emerging giant!

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Ambit Investment Advisors Pvt. Ltd.
A company that did well on the 2012 Emerging Giants cut
Profitable unit economics form a sustainable foundation… ..with rapid growth occurring without increasing receivables
60% 2,500
60 14,000
50% 2,064
50% 44% 45% 48 49
46% 2,000 50 12,000
39% 41%
40% 38 10,000
1,488 40 36
1,500 33
1,149 30 8,000

Days
30% 30
819 830 1,000 6,000
20% 20
585 4,000
500
10% 10 2,000

0% - 0 -
FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012
EBITDA (INR Mn) Gross Profit - Interest/Sales Revenue (INR Mn) Receivable Days

Greater scale in turn led to greater asset efficiency… … culminating in improving cash conversion and RoCEs

2.0x 9,000 120 108 40

1.8x
1.8x 8,000 93 35
1.5x 100
1.6x 1.4x 7,000 82 30
1.3x
1.4x 80
6,000 25
1.2x 62
1.0x 5,000
1.0x
0.9x Days 60 20
4,000
0.8x 37 15
3,000 40 29
0.6x
10
0.4x 2,000
20
1,000 5
0.2x
0.0x - 0 0
FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012

Gross Block Gross Fixed Asset Turnover RoCE (%) Cash Conversion cycle
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Ambit Investment Advisors Pvt. Ltd.
This company was Kajaria Ceramics; MCap up 7x since!
Margins expand on rising scale and value added products As a % of
Key Drivers of Kajaria's success FY2012 FY2017
Prudent investments in branding Successful expansion of high Sales
and distribution deepened its margin vitrified tiles along with
25 competitive advantages JV strategy boosts efficiency 35,000
Prudent increase in brand
18.9 19.4 investments and distribution: Led to
20 30,000 A&P Spend 1.7% 3.1%
15.7 15.5 15.6 16.2 increasing market share while reducing
need for discounts /dealer commissions
15 25,000
9.6 9.9
10 6.8
8.0 20,000
6.2 6.6
JV production 5% 33%
5 15,000 Building scale efficiently via Joint
Ventures: Resulted in adding capacities
0 10,000 at relatively low costs while minimizing
FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 inefficient outsourced production Outsourced 35% 10%
Production
Revenue (INR Mn) EBITDA M% PAT Margins (%)

…resulting in immense value creation for long-term investors!

800 Market Cap: Focus on higher value Vitrified Tiles,
~Rs11,000 crore 675 where factors such as design, quality & Vitrified Tiles 35% 58%
700 brand play to their competitive strengths
600
46% CAGR%
500 …All leading to significant margin EBITDA
15.7% 19.4%
400 improvement Margins
300 Market Cap:
~Rs1600 crore ..While revenue growth remains Revenue
200 Robust (INR B)
13 25
100
0
Jul-13

Jul-14

Jul-15

Jul-16

Jul-17
Jan-13
Mar-13
May-13

Sep-13
Nov-13
Jan-14
Mar-14
May-14

Sep-14
Nov-14
Jan-15
Mar-15
May-15

Sep-15
Nov-15
Jan-16
Mar-16
May-16

Sep-16
Nov-16
Jan-17
Mar-17
May-17

Kajaria Ceramics Share Price

Source: Bloomberg, Company, Ambit Capital Research;
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Ambit Investment Advisors Pvt. Ltd.
Backtest Results, Sharpe Ratio and Drawdown
Annual Returns - Dec'12-Dec'17
140% 45%
Compounded Returns - Dec'12-Dec'17
123% 39.1%
40%
120%
35%
100%
30% 27.7%
80% 25%

60%
58.8% 55.6% 20% 18.0%
44.9% 15.2%
38.0% 15% 13.4%
37.6% 36.6%
40% 32.7% 29.9%
10%
20% 13.7%
7.80% 5%
3.73% 3.40% 2.68%4.26% 4.02%
0% 0%
-0.35% -0.82%
2013 2014 2015-3.12% 2016 2017 Emerging Emerging BSE Smallcap BSE 500 Nifty
-9.57%
-20% Giants Giants CAGR
Emerging Giants BSE Smallcap BSE 500 Nifty Median Return
Returns
Source: Bloomberg, Ace Equity, Ambit Capital Research. *Median Returns are for the portfolio only. All returns are net of assumed transaction costs and include reinvested dividends.

Net Returns* Standard Sharpe Maximum

Performance(2012-2017)
(CAGR) Deviation Ratio Drawdown
Emerging Giants 39.1% 21.3% 1.51 -22.6%

BSE Smallcap 18.0% 19.1% 0.58 -26.9%

BSE 500 15.2% 14.1% 0.58 -19.6%

Nifty 13.4% 13.4% 0.47 -21.5%

Method: Stocks are rebalanced December-end on an annual basis. Equal amounts are assumed to be allocated to each stock. Stocks are selected
as per the model framework and filters. Results are calculated on a CAGR basis. Final Period ends on Dec’31, 2017.

Returns include dividends reinvested and are net of assumed transaction costs (3% for Portfolio & BSE Smallcap, 1% for the BSE500, and 0.5% for
the NIFTY).
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Ambit Investment Advisors Pvt. Ltd.
Live portfolio performance

10%

4.9%
5%
1.9% 1.9% 1.7%
1.0%
0.2%
0%
1M 3M 6M 9M 1Y Since Inception
Return (%)

-1.7%
-5%

-8.3% -7.9%
-10%

-15% -13.5%

-17.1%
-20%

-23.5%
G&C Smallcap BSE Smallcap
-25%

Note: Performance post all fees and charges; Portfolio inception date is December 1, 2017. Returns as of 31st December, 2018

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Ambit Investment Advisors Pvt. Ltd.
Consistent risk adjusted outperformance is arising because of…

 Ambit’s Emerging Giants portfolio selects companies that exhibit:

Market Leadership: More than half the companies in our portfolio dominate their market
niche/geography or are among the top 2 players in the field.

Focused Expertise: Companies that relentlessly focus on a specific product/service, allowing them to
excel within their circle of competence.

Consistent financial performance: Excellent financial track record with superior underlying
fundamentals.

Clean Accounting: Use of our proprietary forensic accounting framework (HAWK) to filter out firms with
suspect financials.

No Operator activity: Avoiding stocks that are associated with operators.

 Ambit’s Emerging Giants portfolio characteristics: Emerging Net Debt

P/E Past 5Y Growth RoE
Giants - /Equity

Low debt with the median portfolio company cash positive Comparison
Blended
to Indexes FY2018 FY18 Revenue EPS Past 5Y Current
Forward

Reasonable valuations for quality stocks
Emerging
(-0.1x) 25x 19x 13% 23% 19 20
Giants

Stellar track records of capital allocation in terms of return
on equity and capital BSE Small cap 1.3x 20x* 17x 3% 11% 4 2

Growth potential above the comparable index Nifty 0.7x 22x 19x 6% 5% 16 14

Source: Bloomberg, Company, Ambit Capital Research; Index statistics as per Bloomberg; All Portfolio statistics are medians except for Debt/equity; Blended forwards are
based on Ambit estimates, while Index estimates are based on Bloom estimates; * P/E for BSE Small Cap is based on positive earnings and on total earnings the ratio will be
440x PRIVATE & CONFIDENTIAL Pg 13
Ambit Investment Advisors Pvt. Ltd.
Optimal fund size: Rs200 crore

 Ambit’s Good & Clean Smallcap (Emerging Giants) portfolio’s optimal fund
size is Rs200 crore, in our view, to protect the interests of investors by:

Reducing liquidity constraints:

Minimizing transaction costs/impact costs:

Focused investment style supported by backed bottom up research,

leading to concentrated portfolios

 Rs200 crore offers sizing flexibility: At this level, we have the ability to own meaningful
positions in firms with market capitalizations as low as Rs100-200 crore if need be, thereby fulfilling
both our liquidity requirements as well as keeping with our fund’s style.

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Ambit Investment Advisors Pvt. Ltd.
Construct & structure

Construct & Structure

Fund Type SEBI Registered PMS

Fund Tenure Open Ended

Structure Discretionary PMS

Minimum investment INR 25 lacs

Investible universe is stocks that perform well on the two frameworks noted earlier. A further
Stock selection
subjective assessment then leads to a more concentrated stock portfolio

Number of stocks < 20

25% per sector, 10% per stock

All cap with BSE Smallcap as the benchmark

The investment horizon is 1-3 years and longer; turnover therefore should not exceed 30-
Time horizon and turnover
35% in a year

Not to take aggressive cash calls; this is keeping in mind the longer term investment horizon
Cash calls
of the fund and is suitable from a taxation standpoint

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Ambit Investment Advisors Pvt. Ltd.
Fee structure

Fee Structure
Entry Load NIL

Fixed 2% p.a

Option 1 Variable NIL

Exit Load NIL

Fixed 1% p.a

20% of excess profits above a hurdle

Option 2 Variable rate of 15%
(High watermark applicable)

Exit Load NIL

Fixed NIL

20% of excess profits above a hurdle rate

Option 3 Variable of 10%
(High watermark applicable)
Exit Load NIL

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Ambit Investment Advisors Pvt. Ltd.
Fund Management Team
Aishvarya Dadheech, CFA – Fund Manager
- With over 12 years of experience in Indian equities, Aishvarya has been managing Ambit Group's
proprietory book for the last 2 years.
- Prior to that he was with Reliance Life Insurance as Equity Fund manager managing their investments for
almost 7 years. He has earlier worked with Crisil as a Equity and Credit Research Analyst for over 3 years.
- He is a CFA charterholder, Chartered Accountant and has completed MBA Finance.

Sameer Alodia – Senior Analyst

- Associated with Ambit for more than 3.5 years, he was lately managing Ambit's shareholder funds, where
he invested in listed equities with a value investing approach. Prior to that, he was with the investment
banking team at Ambit covering Chemicals & Healthcare sector. He has earlier worked with J.P. Morgan’s
Institutional Investor ranked equity research team covering US pharmaceutical sector for over three years.
- He holds an MBA from Indian School of Business (ISB) and is a graduate from IIT-Bombay.

Ajit Agrawal – Research Analyst

- Previously worked as an Analyst in the Credit Analysis Team of HSBC, covering banking companies across
various geographies such as North America and Asia-Pacific. He is a Chartered Accountant & a Commerce
Graduate from St. Xavier’s College, Kolkata.

Siddhartha Rastogi – Managing Director (Head of Asset Management)

- With over 15 years of experience, he heads the Asset Management vertical for Ambit. He has spent 8 years
with Ambit across various divisions including Advisory, fund raising, Private Wealth. Previously, he was the
founding member of IIFL’s Private wealth management business.
- He is an Commerce Graduate from Delhi University and has a Post Graduate Diploma in Business
Administration from NMIMS, Mumbai.
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Ambit Investment Advisors Pvt. Ltd.
 Appendix

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Ambit Investment Advisors Pvt. Ltd.
For long term investors, valuations less meaningful for
large cap investing
A comprehensive analysis of Large cap stock returns reveal a poor correlation with starting
valuations
Britannia: 31x FY13 P/E;
Page Industries: 41x FY13 P/E;
5Y Share price CAGR: 56%
80%
PVR: 29x FY13 P/E; 5Y Share price CAGR: 47%;
5Y Share price CAGR: 34%
60%

40%
R² = 0.0299

20%

0%
0x 5x 10x 15x 20x 25x 30x 35x 40x 45x 50x

-20%

-40%

-60%

-80% FY13 P/E vs. FY13-18 Relative price performance (Jun’13-Jun’18)

Source: Ace Equity, Bloomberg

Note: i) Large cap universe analyzed – Top 500 companies ranked by market cap;
ii) Only positive P/Es were considered for this analysis; P/Es with a value greater than 100x are bounded at 100x;
iii) Stock returns are 5Y CAGR price returns relative to that of the Nifty Index

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Ambit Investment Advisors Pvt. Ltd.
Similarly, for long term investors, valuations less relevant
for small cap investing as well
A comprehensive analysis of small cap stock returns reveal a poor correlation with starting
valuations

80% Tata Elxsi: 26x FY13 P/E;

5Y Share price CAGR: 71%;
TV Today: 33x FY13 P/E;
60% 5Y Share price CAGR: 44%

40%
R² = 0.0011

20%

0%
0x 5x 10x 15x 20x 25x 30x 35x 40x 45x 50x

-20%

-40%

-60%

-80% FY13 P/E vs. FY13-18 Relative price performance (Jun’13-Jun’18)

Source: Ace Equity, Bloomberg

Note: i) Small cap universe analyzed – 500th-1500th ranked companies by market cap in India;
ii) Only positive P/Es were considered for this analysis; P/Es with a value greater than 100x are bounded at 100x;
iii) Stock returns are 5Y CAGR price returns relative to that of the BSE Small cap index

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Ambit Investment Advisors Pvt. Ltd.
The bulk of the run up last year was in poor quality stocks..

Moreover, the major small cap rerating this year has Similarly, small caps with good accounting quality continue
predominantly played out in firms with poor RoCEs to be ignored in the current environment
40%
Average P/B Rerating vs FY16 RoCE (Nov'16-Nov'17) Rerating in EV/EBITDAs Rerating in P/Es Rerating in P/Bs
100% 34.0%
35%
R² = 0.898
31.4%

Q5% 80% Q4 30%

29.3% 28.8%
27.1%
Q3 25.7%
60% 24.5%
25%
Q2
40% 19.2% 19.5%
19.1%
20% 18.5% 18.2%
17.3%
Q1
14.9%
20% 15%
12.8%

0% 10%
-10 0 10 20 30 40 Quintile1 Quintile2 Quintile3 Quintile4 Quintile5
FY2016 RoCE
Source: Ace Equity, Bloomberg; Note: (i) Universe – Ambit’s sub-BSE500 HAWK universe (~900 Source: Ace Equity, Bloomberg; Note: (i) Universe – Ambit’s sub-BSE500 HAWK universe
stocks); (ii) Q1 = Top 20% percentile in FY2016 RoCE; ( iii ) Negative P/B ratios are excluded; (~900 stocks); (ii) Q1 = Top 20% Accounting Quality; Period – Nov’16: Nov’17’. Figures are
median reratings

 Poor quality firms (on FY2016 RoCEs) have seen the  Firms with poor accounting have seen their stocks
highest rerating, with the worst quintile seeing an rerate the highest over the past year on a P/B,
~80% jump in their multiples on average EV/EBITDA and P/E basis.

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Ambit Investment Advisors Pvt. Ltd.
..while quality small caps remained reasonably priced

Small caps with good accounting quality trade at a discount Similarly, small caps with high returns on capital remain
to firms in the lowest quality quintile amongst the least expensive
FY2017 Valuation Multiples vs Accounting Quintiles FY2017 Valuation Multiples vs FY2017 RoCEs
50x
30x 29x 46x
45x
25x 25x
25x 24x
23x 40x

35x
20x
29x
30x
15x
15x 25x 23x
13x 22x 22x
12x 11x 11x
20x
10x 15x
15x 12x
10x 11x
10x
5x
5x

0x 0x
FY17 EV/EBITDA FY17 P/E FY17 EV/EBITDA FY17 P/E

Quintile1 Quintile2 Quintile3 Quintile4 Quintile5 Quintile1 Quintile2 Quintile3 Quintile4 Quintile5

Source: Ace Equity, Bloomberg; Note: (i) Universe – Ambit’s sub-BSE500 HAWK universe (~900 Source: Ace Equity, Bloomberg; Note: (i) Universe – Ambit’s sub-BSE500 HAWK universe
stocks); (ii) Q1 = Top 20% Accounting Quality; ( iii ) Negative P/E and EV/EBITDA ratios are (~900 stocks); (ii) Q1 = Top 20% in RoCEs ; (iii) Negative P/E and EV/EBITDA ratios are
excluded; (iv) Data as of Nov 30 2017 excluded; (iv) Data as of Nov 30 2017 (V). Quintile 5- P/E ratio stands at 211x

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Ambit Investment Advisors Pvt. Ltd.
Quality small caps: Expensive or attractive?

For similar ROCEs, good quality small caps significantly cheaper versus large
caps

40x

35x

41% Avg. ROCE

30x 28x P/E

25x

40% Avg. ROCE

20x 17x P/E

15x

10x
Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18

Top RoCE Small-Cap Median PE Top RoCE BSE500 Median PE

Source: Bloomberg, Ambit Capital Research.

Note: (i) Small Cap refers to Ambit’s sub-BSE500 HAWK universe (~900 stocks); (ii) Top Companies refers to Top 20%
percentile in FY2017 RoCE ;(iv) Ending Period Jun30, 2018

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Ambit Investment Advisors Pvt. Ltd.
Disclaimer

• Ambit Investment Advisors Private Limited (“Ambit”) is a registered Portfolio Manager with Securities and Exchange Board of India vide
registration number INP000005059.

• This presentation is strictly for information and illustrative purposes only and should not be considered to be an offer, or solicitation of
an offer, to buy or sell any securities or to enter into any Portfolio Management agreements. This presentation / newsletter / report is
prepared by Ambit strictly for the specified audience and is not intended for distribution to public and is not to be disseminated or
circulated to any other party outside of the intended purpose. This presentation may contain confidential or proprietary information and
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• Neither Ambit nor any of their respective affiliates or representatives make any express or implied representation or warranty as to the
adequacy or accuracy of the statistical data or factual statement concerning India or its economy or make any representation as to the
accuracy, completeness, reasonableness or sufficiency of any of the information contained in the presentation herein, or in the case of
projections, as to their attainability or the accuracy or completeness of the assumptions from which they are derived, and it is expected
each prospective investor will pursue its own independent due diligence. In preparing this presentation, Ambit has relied upon and
assumed, without independent verification, the accuracy and completeness of information available from public sources. Accordingly,
neither Ambit nor any of its affiliates, shareholders, directors, employees, agents or advisors shall be liable for any loss or damage
(direct or indirect) suffered as a result of reliance upon any statements contained in, or any omission from this presentation and any
such liability is expressly disclaimed.

Contd..
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Ambit Investment Advisors Pvt. Ltd.
Disclaimer

• You are expected to take into consideration all the risk factors including financial conditions, Risk-Return profile, tax consequences, etc.
You understand that the past performance or name of the portfolio or any similar product do not in any manner indicate surety of
performance of such product or portfolio. You further understand that all such products are subject to various Market Risks, Settlement
Risks, Economical Risks, Political Risks, Business Risks, Financial Risks etc. You are expected to thoroughly go through the terms of
the arrangements / agreements and understand in detail the Risk-Return profile of any security or product of Ambit or any other service
provider before making any investment. You should also take professional / legal /tax advice before making any decision of investing or
disinvesting. Ambit or Ambit associates may have financial or other business interests that may adversely affect the objectivity of the
views contained in this presentation.

• Ambit does not guarantee the future performance or any level of performance relating to any products of Ambit or any other third party
service provider. Investment in any product including mutual fund or in the product of third party service provider does not provide any
assurance or guarantee that the objectives of the product are specifically achieved. Ambit shall not be liable to client for any losses that
you may suffer on account of any investment or disinvestment decision based on the communication or information or recommendation
received from Ambit on any product. Further Ambit shall not be liable for any loss which may have arisen by wrong or misleading
instructions given by you whether orally or in writing.

• The product ‘Ambit Good & Clean Portfolio’ has been migrated from Ambit Capital Private Limited to Ambit Investments Advisors
Private Limited. Hence some of the information in this presentation may belong to the period when this product was managed by Ambit
Capital Private Limited.

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Ambit Investment Advisors Pvt. Ltd.
MUMBAI DELHI
Ambit House 310-313 Ashoka Estate
449, Senapati Bapat Marg Barakhamba Road
Lower Parel
Mumbai - 400 013 New Delhi – 110003
Phone: +91 22 3982 1819 Phone: +91 11 2332 9675

BANGALORE
"Empire Infantry", Unit No. 3
29 Infantry Road, 1st Floor
Bangalore - 560 001
Phone: +91 80 3055 4400

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Ambit Investment Advisors Pvt. Ltd.