[Exclusive Interview] This Investment Firm Deploys AI To Conduct Trillions Of Computations Before Advising On Wealth Creation

Recently, we interacted with representatives from Savart – a unique tech-powered investment firm that builds technologies that help make long-term investments & create alpha. They eliminate the perplexing questions of “when, where, how much, and how to invest in the market?” for thousands of investors globally.

Here are the interview highlights:

1. Could you provide an overview of Savart and its mission as an investment firm? 

Ans: Savart is an AI-powered global asset management firm with a mission to create long term alpha for investors in stock, mutual funds, bond & gold investments in India, U.S.A. & Canada.  

Our mission is to democratize wealth creation by making long-term investing simple, affordable, and accessible to everyone. We simplify long-term investments and alpha creation, eliminating the daunting questions of ‘when, where, how much, and how to invest?’ for thousands of global investors. We do this by using our APART AI (Advanced Process Automation & Research Technology), research system to automate the investment process, from discovery of investment opportunity to execution, across asset classes and geographies. 

Services

• Investment Advisory: Advice for investments starting at INR 1,000 through the Savart app & website.
• Portfolio Management Services: Fully automated long-term investment through the ‘Ad Astra Fund’.
• Personal Finance: Comprehensive financial planning services
• Nirvana: Personal finance & investment education

2. In a rapidly changing financial landscape, how does Savart help its clients make informed investment decisions?

Savart stands as an outlier in the asset management space amongst hundreds of firms peddling speculative advice and lure of get-rich-quick schemes among innocent investors. It is our belief in educating a client before investment and maintain transparency post investment. We launched the Nirvana program to help spread the idea and importance of research based investing through online-offline courses & free reading material.

On the asset management front, APART AI monitors millions of data points and conducts trillions of computations to make a single investment, much more than a human analyst or fund manager can ever fathom.

3. What sets Savart apart from other investment advisory firms in the market?

Personalized investments: APART computes & analyzes individual risk tolerance and financial goals to create personalized investment advice. Savart’s proprietary EFG^TM system uses psychometric & behavioral indicators to create a dynamic & accurate profile of each individual investor.

Eclectic & fast research: APART allows the creation of multi-asset & multi-geographic portfolios in a span of seconds, which otherwise takes a human research team a few months to simply research. The amount of data that APART crunches in a minute is more than what an individual research analyst would, in a lifetime.

Real-time monitoring: It is not just important to invest right, but also keep a close track of all investments to ensure there is no significant deviation from the initial thesis or rationale. The challenge of overload of irrelevant information is easily surmounted by APART.

Trust & transparency: While the economic, business and educational challenges of helping individuals invest for the long term are tremendous, our adherence to ethics, transparency and doing the right thing have created a reliable atmosphere for investors to share their dreams with us.

Performance: While our tech may be amazing, what matters most is what we were set out to achieve i.e., Alpha. Our performance track record since September 2019 till date has generate alpha in excess of 100% over the benchmark NIFTY 50 index.

4. Can you explain the investment philosophy or approach that Savart follows when advising clients? 

• APART is the sole & final investment decision maker at Savart.
• Asset classes covered: Stocks, Mutual Funds, Bonds & Gold
• Our advice has a positive bias towards stocks over other asset classes.
• We believe in making long term investments. We define long term as a period > 5 years. Our favourite holding period is ‘forever’. 
• We prefer to maintain concentrated portfolios & make big, infrequent bets.
• Our strategy is ever evolving and open to new ideas because inflexible strategies die quickly.
• We are generally sector, industry, geography, and market cap agnostic.
• We do not recommend ‘something new’ every day or month just because we have to. There are many occasions where we recommend ‘averaging’ or ‘repurchasing’ the same investments.
• Inaction generally works better than action in investing.
• We avoid ‘timing’ our purchases and exits to perfection and instead rely on asset fundamentals to make such decisions.

5. How does Savart tailor its investment strategies to meet the unique needs and goals of individual investors? 

Bespoke asset management and personalized portfolios were traditionally available only to high net worth investors. However, Savart has democratized personalized asset management at scale thanks to its APART system.

The personalization of the portfolio is governed by our proprietary psychometric risk profiling system, termed the EFG (Emotional, Financial & General Analysis). This helps us understand the risk tolerance, financial behavior, financial goals & expectations of the investor using 20+ behavioral metrics. This is especially essential given that most clients may not always be able explain their investment needs & risk appetite precisely through the traditional Q&A format of profiling.

The customization of portfolio may reflect changes in inter asset allocation, intra asset allocation, geographic allocation or investment strategy that is recommended for each client. This ensures that the advice received aligns with the needs of the investor.

6. With the current economic climate, what advice does Savart have for investors looking to navigate uncertainty in the market? 

Savart believes that timing the market is a futile exercise, and it is preferred to make staggered investments in general and concentrated, big bets when there is high conviction. So, recessions, corrections & market crashes don’t undermine our long term focus.

7. Risk management is a crucial aspect of investment. How does Savart help clients assess and mitigate risk in their portfolios? 

APART analyzes the risk on client side using the EFG^TM system while it conducts numerous quantitative, qualitative & forensic checks on the investment side using the Quant & Iris systems. Data from con-call transcripts, annual reports, news articles & thousands of other sources constantly pour into the APART database where business, currency, geopolitical, environmental, competitive,  and regulatory risks among others are thoroughly assessed. While we are careful with risk, we don’t go overboard or obsess about risk reduction given that investment in quality businesses and patiently holding them is alone sufficient to improve probability and quantum of wealth creation in the long term.

8. Can you share some success stories or case studies where Savart has helped clients achieve their financial goals? 

An IT Professional Thiyagarajan shares his story, he says “I was into trading and stock marketing earlier, but I didn’t get any profits. Then after a hunt for some new advisory, then I found the interviews of Sankarsh, the CEO of Savart, which inspired me to part of Savart family. After joining in Savart and taking their long term advisory services, now I doesn’t even need to look back and my portfolio changed completely.”

Another Client Dr. Rashika Reddy also shares her journey in Savart, “Two years back, when I was wondering how to start my investment and so on, I randomly saw a video of Sankarsh explaining about the profit investments, then I thought I should give it a try, and immediately joined in Savart. Since then, I never regretted a moment, they always gives the best advices which gives profits. I would definitely recommend everyone, Savart is the best advisory platform.”

People from different backgrounds, with different stories and portfolio’s started trusting Savart and has begun their investment career, now all of them are into profits and still making profits more than they have expected. 

9. How does Savart stay up-to-date with market trends and economic developments to provide timely advice to clients? 

The APART system covers over 10,000 sources including annual reports, con-call transcripts, journals, research reports & data over internet to make investment decisions. From macros to micros, from environment concerns to livestock data, APART consumes and crunches more data than a human can ever imagine.

10. What are some common mistakes or misconceptions that investors have, and how does Savart address these issues in its advisory services? 

• One need to time the market to be a successful investor: Savart believes that it is impossible to time the market consistently. Instead, Savart focuses on long-term investing and asset allocation. Savart creates investment portfolios for its clients that are designed to generate superior returns over the long term, regardless of market conditions. The focus must remain on long term investments.
• One need to a lot of money to invest: Stock market is now democratized and accessible to all investors with investments starting at INR 1000 as well.
• Stock market is the way to get rich quick: There is no free lunch in the world and definitely not in the stock market. Patience and thorough research is imperative to achieving investing success. Savart’s asset management services both save time and also conduct thorough research, thus improving odds of profitability.
• Stock investing is too complicated & is a gamble: Anything that is done with understanding is a gamble. People often end up making short term bets in the market without proper due diligence, which are certain to go sour.