Hood River International Opportunity Fund on Angel One Limited
Thesis
Angel One is the fund's identified Indian financial services holding, providing exposure to opportunities in India's trading platform industry. The managers believe regulatory changes are creating competitive advantages for certain established platforms, while improvements in efficiency and customer offerings are reshaping the broader industry. Their research indicates that several Indian trading businesses are growing faster than comparable U.S. companies despite trading at lower valuations. Recent volatility in Indian equities has created opportunities to invest in businesses with improving fundamentals at attractive prices.
“While we currently have exposure to a single Indian financials company in the fund, Angel One Limited”
Key risks
- Regulatory changes could alter competitive advantages across Indian trading platforms.
- Newer competitors are gaining market share through greater efficiency and improved customer offerings.
- Higher energy prices and global bond yields have created pressure on Indian equities.
- Foreign currency fluctuations and emerging-market volatility could negatively affect investment returns.