Cosmos Capital Private Limited is a company incorporated under the Indian Companies Act 2013. It was set up to address the growing need of Indians and NRIs to access a range of cross-border investment opportunities.
Due to the massive liquidity that has been pumped into the global economy in the recent past, ongoing trade wars, changing geopolitical alignments, and debt-to-GDP ratios of various countries, the flow of money to the world continues to be uneven, throwing up unique opportunities. Sophisticated investors, therefore, are looking for genuine diversification in their portfolios through non-correlated geographies and asset classes and are seeking to allocate, from their portfolios, to Indian and global opportunities.
While India possesses the potential for vibrant growth, global markets are extremely deep and allow for allocations across multiple asset classes and unique investment themes. Cosmos Capital seeks to dedicate its efforts exclusively to this need and bring its in-depth approach and process capabilities to curate differentiated and uncorrelated products for the discerning investor.
The company logo is symbolic of stability, permanence, and geometric perfection; the cube is the building block of our identity and philosophy. The five cubes represent the brand’s pillars and core values. They come together to form strong and secure bonds, eventually forming the letter ‘C’ of Cosmos. A hidden star in the negative space symbolizes the search for excellence and reaching for the sky. Five Cs that are the core tenets and pillars of the brand are:
Aware, qualified, knowledgeable
Reliable, trustworthy, dependable
In delivery of expertise and solutions
Focus on delivering to client needs
At Cosmos Capital, we follow a rigorous process to ensure our valuable customers get easy access to best-in-class international investment opportunities. Here is our five-step process:
We believe there are opportunities in some parts of the world in some asset classes at all times. We use our investment framework to:
Analyze macro data
Identify headwinds and tailwinds for various asset classes
Source a set of relevant investment managers in the identified asset classes
We create a pipeline of new investment opportunities from best-in-class asset managers from different parts of the world with a wide range of expertise and strategies. We source deals from the below ecosystem of global connections:
Opportunities from the proprietary network
Network of placement agents and fund aggregators
Existing relationships with product manufacturers in various parts of the world
The endeavor is to identify a set of appropriate funds under each of the asset classes to ensure product availability in different buckets of investment categories.
We look for investment opportunities meeting the following criteria:
Themes expected to play out in the next decade with high-growth conviction
Brands that are used globally and showcase continuous growth in earnings
Businesses in specific economies which are the major beneficiaries of changing macro trends
We look for investment opportunities with the following criteria:
Accrual Strategies such as high-quality sovereign securities with medium- and long-term maturities
Duration Strategies that include investing in dynamic debt and gilt securities
Strategies not available in the Indian market with a potential to deliver higher returns than plain-vanilla bond funds, e.g., leveraged bond funds
We look for investment opportunities that would benefit from the global macro environment:
Precious metals: gold, silver, platinum
Broad commodity baskets: potential beneficiaries in the inflationary environment
Industrial metals: aluminum, copper, lithium, etc.
We look for investment opportunities that meet the following criteria:
Low correlation to traditional investments, for example, life settlement fund that has a negative correlation with equities
Differentiated hedge fund strategies, for example, long only, long/short, arbitrage, etc.
Real Estate Investment Trust (REITs)
We do extensive research and analysis on various data points before empaneling a new fund in our product suite.
Preliminary analysis of the fund
We evaluate the following information for the strategy under consideration:
We do a detailed analysis of various quantitative parameters to determine the consistency in risk-adjusted returns of the fund and performance track record versus relevant benchmarks.
We undertake a robust process to evaluate various aspects, as listed here:
Correlation of the fund with respect to other asset classes. We usually prefer investment opportunities with low correlation to different asset classes.
After satisfactory analysis of the fund, we conduct a call with the fund management team to assess the following:
Independent verification of credentials
Fund manager’s view
Market and fund outlook
We regularly monitor fund performance and engage with the fund management team for periodic reviews on various aspects. This is done to ensure that the fund activities are aligned with the overall fund objective, risk management, and targeted IRR.
Analysis of the monthly performance
Quarterly fund management call
Extraordinary management call