Ideal partner: As important as our investment objectives is the type of investor we seek. We seek Limited Partners who are:

  • Qualified clients or institutions in the US as defined by the SEC and are willing to invest at least $1M in Dwaith Partners
  • Indian-origin HNI Clients (RI/NRI/OCI) as defined by SEBI who are willing to invest at least Rs. 2 Cr in Dwaith PMS
  • Interested in preserving and growing wealth over the long term (preferably those who have a 5-year horizon) and are not looking at daily, weekly, or monthly stock prices
  • Comfortable with the Fund rules and understand our capital allocation, growth, and value perspectives


What not to expect: Weekly or monthly reports and frequent calls or emails.

The investments made will take time to mature and yield results. No investments are made with immediate gains in mind with quick turns or frequent portfolio churning. Weekly and monthly reports will not be provided.

As our investments are made to reap long-term gains (5+ years in mind), frequent portfolio changes will be detrimental to our stated goal.

What to expect: Detailed annual letters, and quarterly reports giving an unbiased view of investments. High level of integrity and commitment from the Dwaith team.

Main area of Investments: We will invest funds mainly in India. We will not try to limit ourselves to preset sectors or stocks (small caps, large caps, or mid-caps). Our principal concern will be to invest in companies that have excellent management operating in areas with large growth potential.

India, as an economy in 2024 is at $3.8T. We feel it is at the start of a long growth cycle, as the economy moves towards $10T and beyond in the decade of 2020s. Doubling or tripling of an economy throws up lots of interesting opportunities and we would like to take advantage of them.

Charlie Munger says – ” the first rule of fishing is – fish where the fish are”.

We feel India is ripe for long-term investments as the country is poised for structural long-term growth. With the median age of India being 28, education levels reaching an all-time high (percentage of educated at >70%); it is akin to the USA at the turn of the nineteenth century.

We feel all types of changes will occur in India over the next decade and we will have plenty of fish to fish.

A few types of investments we will make:

GARP (Growth at Reasonable Prices) companies: These will likely form the bulk of our investments. Most of these investments will be made for 3-5 years or likely even longer. The companies here will be in sectors that we understand and can easily point out what the valuation would be with a reasonable margin of safety.

What constitutes growth: An example here would be one of managing partner’s investments in a Pharma company, Caplin Point Lab. This company has been consistently growing at over 20% YoY along with excellent cash flow characteristics. Their principal markets are underserved in India and South America and they operate with excellent operating margins (30%+). This stock had been held by the managing partner in his portfolio for 5+ years (until 2018) and is an example under GARP.

What is a good growth company: A company that gushes cash, and has large current and untapped adjacent markets with limited or no competition is a reasonable candidate. We prefer companies that have strong shareholder structures – where the management (family management or professional management) holds a considerable portion of shares for fairly long periods.

Even before investing, the company should fall into our set of “circle of competence” – that which we easily and clearly understand. Those who do not fall into our circle of competence are passed over.

Undervalued companies: Due to a variety of reasons, many companies trade at lower than intrinsic value. They could be due to – the nature or size of businesses like mid-caps or small caps which are not actively looked into by larger funds or due to sectoral cyclicity. Traditional businesses which might not be in favored sectors or holding companies which might be passed over for investments as other investors might not want to wait long periods to unlock value.

An example of a value company would be something that we hold in Dwaith Partners today – Naspers. Naspers is a South African company, mainly involved in investment activities outside of South Africa. Their principal holding is Tencent – the largest technology company in China with varied interests from WeChat to online gaming to payment services. They hold ~30% of Tencent which is valued at >$200B. They also run a thriving media business in South Africa (the largest trading stock in Johannesburg). The current valuation of Naspers in 2023 is ~$100B (effectively <50% of intrinsic value) and growing rapidly.

A company like Naspers has the uncanny ability to identify good digital plays: 12% ownership originally in Flipkart (Amazon competitor in India which was bought by Walmart for ~$16B), 39% ownership in Swiggy (online delivery platform in India which is valued at >$1B) and 43% ownership in Makemytrip (an Indian online travel enablement e-commerce player). Holding such investments which are available at a discount to their intrinsic value with long digital runways, run by honest management will likely give us good returns. The returns may not be satisfactory in any particular year, but over the long haul – they will likely be excellent.

Turn-arounds: Many times, a good company finds itself in a bad position for various reasons like debt, ineffective management, confused positioning, etc. They might be in inherently good sectors with huge tailwinds. Time and again – such opportunities arise and we will invest to take advantage when signs of revival are clear.

Example: The managing partner invested in Enphase (where he worked until 2021). He made his investment at the time of joining Enphase as he understood the power of the microinverters. The customers just loved the brand, though the company was reeling under heavy debt. When new management brought in operational rigor and focused attention, it was a no-brainer to buy and hold. One of his biggest errors in judgment was to sell that out after a 30X up-move only to miss out on the further 10X growth. The lessons of humility are well-etched and similar errors in selling out early will likely be minimized within Dwaith Funds.

These three strategies will form the principal basis of investments. The managing partner’s thoughts on investments in India, the psychology of holding onto investments, and his general outlook on sectors and markets are articulated in his annual letters that can be accessed under the Performance Summary.

Preferably, if there is nothing to do, our strategy will be to do nothing. Again, it is not our intent to act for the sake of acting. Hence, our bias toward selecting the right partners who have a long-term outlook. Some of the managing partner’s thoughts on doing nothing are illustrated in his 2016 annual letter.