Marcellus Consistent Compounders | Marcellus Newsletter

Strategy Series

Our articles specific to the six investment strategies we offer. Whether you invest with us or are looking to invest, these
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Consistent Compounders

Diversification in a Concentrated Portfolio of Compounders

In an uncertain macroeconomic environment shaped by AI disruption and shifting global geopolitics, the Consistent Compounders Portfolio (CCP) strategy has evolved significantly. While maintaining a concentrated portfolio focused on good-quality businesses, we have diversified our top holdings across uncorrelated sectors such as healthcare, auto components, and export-led manufacturing. This deliberate shift away from our historical […]

Consistent Compounders DEC 06 . 10 MIN READ

Navigating India’s Structural Shifts

Consistent Compounders JUN 24 . 8 MIN READ

Earnings Growth in India: Sliding Nifty vs Rising CCP

Consistent Compounders FEB 18 . 7 MIN READ

CCP’s Earnings Have Compounded at 18% Per Annum

Consistent Compounders

Diversification in a Concentrated Portfolio of Compounders

Apr 16 . 8 MIN READ READ MORE

Consistent Compounders

Navigating India’s Structural Shifts

Our core philosophy in Marcellus CCP remains anchored in finding consistent compounders with clean accounts, deep moats and disciplined capital allocation. However, the drivers of that predictability have evolved over the past five years (after GST and Covid-19). Traditional moats, such as distribution in FMCG, are being disrupted by digital democratization. India’s K-shaped economic evolution has constrained […]

Dec 06 . 10 MIN READ READ MORE

Consistent Compounders

Earnings Growth in India: Sliding Nifty vs Rising CCP

Nifty50’s EPS growth moderated to 6% YOY in FY25 (from 24% CAGR over FY21-24) whilst valuations remain elevated (21x FY26 P/E for Nifty50). In stark contrast, Marcellus’ CCP portfolio’s earnings growth rate has been in the range of 17%-18% CAGR until FY24 and held firm at 14% YoY in FY25. Amidst a growing earnings growth […]

Jun 24 . 8 MIN READ READ MORE

Consistent Compounders

CCP’s Earnings Have Compounded at 18% Per Annum

Marcellus’ CCP Portfolio has delivered 17.8% EPS CAGR over FY19-24 (computed using reported earnings of annual rolling portfolio cohorts), which is the primary driver of the portfolio’s 17.4% (pre-fees) portfolio performance over FY19-24 (15.35% net of fees and expenses). The changes made to the portfolio over time have enhanced its earnings profile. Additionally, in early […]

Feb 18 . 7 MIN READ READ MORE

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Consistent Compounders

How Volatile Funds Cost Investors Dear

High volatility in an equity portfolio creates zones of ‘excitement’ and ‘fear’ based on recent performance. This adversely affects the quality of decision making by equity investors. As a result, historically, investor returns in Indian equity funds have been lower than fund returns across different periods. Similarly, a recent example from the US – NYSE […]

Feb 01 . 6 MIN READ READ MORE

Consistent Compounders

The Benefits of Timing are Inversely Correlated with the Quality of Fundamentals

The rate at which fundamentals of a company compound (and hence its share price) over the long term is inversely correlated with the quantum of benefit that an investor can achieve by perfectly timing her purchases at the bottom of the share price trajectory. Moreover, for a portfolio consisting of high-quality companies, benefits from a […]

Jan 03 . 8 MIN READ READ MORE

Consistent Compounders

CCPs use more ‘S-curves’ to elongate their fundamental compounding

Value addition from every initiative undertaken by a company follows an ‘S-curve’ with three parts to it – the investment phase, the growth phase and the fade period. The fundamentals of the overall company are a consolidation of ‘S-curves’ of all initiatives. There are several limiting factors to every initiative such as addressable market size, […]

Dec 01 . 8 MIN READ READ MORE

Consistent Compounders

The Path to Consistent Compounding is Paved with Free Cashflow

There are four key drivers of free cashflow in a business – revenue growth, profit margins, working capital efficiency, and asset turnover. The order of importance across these four drivers differs across businesses. As Marcellus’ CCP companies invest in technology to improve operational efficiencies, those companies that sell day-to-day essentials to their customers whilst avoiding […]

Nov 02 . 17 MIN READ READ MORE

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Consistent Compounders

How Volatile Funds Cost Investors Dear

The Benefits of Timing are Inversely Correlated with the Quality of Fundamentals

Strategy Series

Diversification in a Concentrated Portfolio of Compounders

Navigating India’s Structural Shifts

Earnings Growth in India: Sliding Nifty vs Rising CCP

CCP’s Earnings Have Compounded at 18% Per Annum

Diversification in a Concentrated Portfolio of Compounders

Navigating India’s Structural Shifts

Earnings Growth in India: Sliding Nifty vs Rising CCP

CCP’s Earnings Have Compounded at 18% Per Annum

New to Marcellus?
Watch this video to know more about us

The Gold List

FEATURED PODCAST

Demystifying the Security of Clients’ Monies in PMS & Mutual Funds

FEATURED VIDEOS

FEATURED WEBINARS

Demystifying the Security of Clients’ Monies in PMS & Mutual Funds

The Global Compounders: AI, Valuations, and the Road Ahead

Recommended Reads

Diversification in a Concentrated Portfolio of Compounders

Marcellus’ Portfolio Updates & Insights – February 2026

Marcellus’ Portfolio Updates & Insights – January 2026

Curated Collection

How Volatile Funds Cost Investors Dear

The Benefits of Timing are Inversely Correlated with the Quality of Fundamentals

CCPs use more ‘S-curves’ to elongate their fundamental compounding

The Path to Consistent Compounding is Paved with Free Cashflow

Interested in more financial news?
Check out our blog for weekly updates

Interested in non-financial news?
Check out our 3 long, 3 short page
to know more

Consistent Compounders

How Volatile Funds Cost Investors Dear

The Benefits of Timing are Inversely Correlated with the Quality of Fundamentals

Strategy Series

New to Marcellus? Watch this video to know more about us

The Gold List

FEATURED PODCAST

FEATURED VIDEOS

FEATURED WEBINARS

Demystifying the Security of Clients’ Monies in PMS & Mutual Funds

The Global Compounders: AI, Valuations, and the Road Ahead

FEATURED newsletter

FEATURED BLOGS

Recommended Reads

Curated Collection

Interested in more financial news? Check out our blog for weekly updates

Interested in non-financial news? Check out our 3 long, 3 short page to know more

New to Marcellus?
Watch this video to know more about us

Interested in more financial news?
Check out our blog for weekly updates

Interested in non-financial news?
Check out our 3 long, 3 short page
to know more