Azurean Approach

about
about azurean

India Focused Investment Manager

Azurean Investment Managers is an emerging investment firm built by professionals with decades of experience in India’s public equity markets. We are focused on creating long-term wealth by investing in quality businesses that mirror the trajectory of India’s economic progress.

We believe India stands at the cusp of a multi-decade growth cycle, driven by powerful demographic trends and rising demand across consumption, services, and infrastructure. Azurean is positioned to capture this opportunity through a disciplined, research-driven investment approach.

We look to invest across market capitalizations — from established large-cap leaders to emerging mid and small-cap companies — using differentiated strategies tailored to each segment. Our investment philosophy is guided by three principles:

  • Growth at a Reasonable Price
  • High returns on capital employed with strong free cash flows
  • Good Quality Management with high standards of Governance

At Azurean, we aim to invest in resilient, capital-efficient businesses with proven leadership and a scalable business model — companies that can deliver value through various market cycles.

Vison - To build a World Class Investment Management Firm driven by discipline and integrity, with a commitment to excellence
Mission - To build a culture that attracts passionate investment professionals fostering wealth creation for our investors

Azurean approach across market capitalization

Large Cap
companies

  • Invest in large, credible, well-managed businesses with a proven track record of wealth generation

  • Alpha is driven by effective sector allocation driven by demand, growth and valuation parameters

Mid Cap
companies

  • Focus on high-growth companies with niche strengths — brand, technology, or market leadership

  • Alpha is generated through selective stock picking, based on in-depth research and diligence

Small Cap
companies

  • Look for companies with strong growth prospects operating in emerging businesses

  • Use founder’s vision and execution capability as key criteria for stock selection

Investment Philosophy

Bottom Up

  • In the mid and small cap space, we follow a bottom-up approach, identifying high-quality businesses with the potential to deliver sustained long-term returns
  • We look for companies with consistent free cash flow generation with reasonable Return on capital employed
  • High-caliber management teams with strong execution capabilities
  • Our team persists decades of experience in analyzing companies across diverse sectors, which is essential for bottom-up stock selection

Top Down

  • For large-cap allocations, we largely depend on a top-down strategy
  • The approach would be to combine macroeconomic analysis with sector-specific insights
  • Sector specific dynamics such as demand-supply balances, pricing power, and competitive intensity coupled with valuations determines exposure
  • Risks would be mitigated by efficient diversification at the portfolio levels
The big money is not in buying and selling…but in the waiting
- Jesse Livermore

The big money is not in buying and selling…but in the waiting

- Jesse Livermore

Key Investment Considerations

Investment Philosophy

  • Growth at reasonable price (GARP) will be the key tenet of our Investment Philosophy
  • Long term orientation - Buy good quality business even at slightly higher prices and sit on them for long periods
  • ROE > WACC – Buy businesses that generate ample free cash flow and where the Return on equity is significantly above the cost of capital to ensure long term value creation
  • Our portfolio will primarily focus on large, well-established companies with a proven track record
  • Governance – Invest in companies that have a proven track record of strong corporate governance
  • Look for companies that are positioned favourably in business cycle. Take tactical exposures based on specific events or special situations

Portfolio construction at Azurean

Businesses that we like

  • Scalable Businesses with large Market Opportunity
  • Companies with Pricing Power and Cost leadership
  • Financial Strength - Capitalized with little/no gearing
  • Effective Management and Governance
  • Innovative companies in Sunrise Industries

Businesses that we look to avoid

  • Complex Corporate Structures
  • Capital-Intensive Businesses with Low ROCE
  • Poor Capital Allocators
  • Low on Governance and ESG
  • Sunset Industries

It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price

- Warren Buffett

Risk management

Diversification
Individual stocks carry risk, but a well-diversified portfolio can reduce the risk.
Liquidity
No exposure to unlisted equities, portfolio is liquid. No exposure to international equities.
Leverage
There is no leverage employed at the portfolio level, further reducing risk.
Time Horizon
As the time horizon increases, the probability of negative returns of a portfolio decreases.