The aim is not to chase what is already popular, but to identify themes before they become popular
Yogesh Shroff, Ali Azar, Partner & Founder
When Indian markets peaked towards the end of 2024, investors were not prepared for what came next - a sudden correction. At first, what felt like a buy-the-dip opportunity was in reality a change in cycle. For years, markets rewarded growth stories. Valuations expanded easily. Small caps were the favourite trade.
So, a sudden change in momentum, especially for those who began participating late in the rally, came as a rude awakening. Add to that, once global uncertainty increased, especially with tariff shocks from the United States, sentiment changed quickly.
The rupee weakened sharply, volatility increased, and portfolios that looked stable in rupee terms suddenly didn’t look as strong when viewed globally. Hence, massive FII selling ensued. In such phases, markets don’t reward excitement.
They reward strong balance sheets, cash flows, and financial discipline. The market quickly shifted to survival mode. Once the team at Magnus Hathaway got the confirmation of this seismic shift, it quickly adapted its strategy to reflect the new reality.
Magnus Hathaway Investments is a research driven equity advisory designed to navigate different market cycles, not just bull markets. As a SEBI-registered Research Analyst (RA), the firm’s philosophy has always been simple: cycles change, and portfolios must change with them.
“Our response was straightforward, we moved toward high-quality large caps, reduced position sizes, and became far more selective in mid and small caps”, says Ali Azar, Founder at Magnus Hathaway Investments. A few quarters later, the firm launched its International Investing Plan.
“We didn’t want our clients’ portfolios tied to just one market or one currency”, says Yogesh Shroff, Partner at Magnus Hathaway. “We started recommending the U.S.-listed ETFs and index funds, especially in metals and mining themes, where we saw long-term opportunity”, adds Yogesh. The idea was simple: diversify intelligently, not react emotionally.
The aim is not to chase what is already popular, but to identify themes before they become popularYogesh Shroff, Ali Azar, Partner & Founder
Research First, Always
Magnus Hathaway does not operate like a sales driven advisory. The focus remains on research and portfolio construction. The partners bring more than two decades of combined market experience.
The aim is not to chase what is already popular, but to identify themes before they become popular. In India, this has meant preferring organizations with strong earnings visibility and clean balance sheets over speculative themes.
Globally, it has meant studying demand-supply dynamics, commodity cycles, and policy shifts instead of reacting to daily headlines.
“For example, we identified the Silver cycle early”, says Piyush Kumar, Managing Partner at Magnus Hathaway. “Our recommended Silver ETF delivered multibagger returns over the past year”, adds Piyush. But the firm does not treat performance as a marketing tool. It treats it as the outcome of a disciplined process.
The V.O.L.T. Framework
Every investment at Magnus Hathaway passes through the internal V.O.L.T. framework. In Valuation (Is the company paying a fair price?) phase, the team compares current prices with realistic earnings expectations over the next 2–3 years.
The focus is simple: avoid overpaying. Next is Opportunity (Is the environment supportive right now?), where the firm looks for clear tailwinds: policy support, capex cycles, commodity upcycles, or sector rotation.
Under Longevity (can this business sustain growth across cycles?), it prefers clean balance sheets, strong ROCE, visible order books, solid unit economics, and organizations that reinvest wisely without excessive dilution.
Trigger (Are there any near-term catalyst?) is to determine what can unlock value. There must be a clear reason for movement, be it margin expansion, a major order win, management change, regulatory clearance, market share gain, or a product launch. Not every stock needs to tick every box perfectly. But conviction increases when multiple factors align.
Built on Communication and Continuity
Client relationships are not transactional. The firm maintains an active investor community where daily insights, macro updates, and stock-level commentary are shared. During volatile phases, communication increases, it does not disappear.
Every quarter, a detailed portfolio review via a webinar walks clients through the latest quarterly results, and the firm’s view on how their portfolio stocks have performed, and if any changes are required.
Reasoning for entries and exits are explained clearly. Clients are not left guessing. In its 16 months of existence, Magnus Hathaway has already served thousands of retail investors across India. Growth has been purely organic, driven by their social media presence, and built on referrals and research credibility.
The firm plans to explore the advertising model soon though. Markets will change again. They always do. The objective is not to chase every wave, but to stay positioned when the tide turns.
