Taurus Infrastructure Fund-Direct Plan-Payout of Income Distribution cum capital withdrawal INF044D01CE1

Taurus Infrastructure earns a Low Process Pillar rating.

The main driver of the rating is its parent firm's disappointing risk-adjusted performance, as shown by the firm's average 10-year Morningstar Rating of 2.4 stars. A lower star rating suggests that the firm has struggled to outperform on a risk-adjusted basis. The parent firm's five-year risk-adjusted success ratio of 31% also holds the process back. The measure indicates the percentage of a firm's funds that have beat their respective category's median return for the period. The parent's subpar success ratio suggests that the firm could do better across its fund lineup.

This strategy has more exposure to the Growth factor than the Equity - Infrastructure Morningstar Category average. But in terms of size exposure, it does not have much of a bias and resembles the typical portfolio. Looking at additional factor exposure, the managers have been consistently underweighting yield compared with the Morningstar Category peer over recent years. Its preference for stocks with lower yields may well lead to a growthier portfolio. However, growth stocks court additional risks if their forecasts do not come to fruition and are often more volatile than companies with stable dividends. Different from its historical appetite, however, the Yield factor was in line with the Morningstar Category average in recent months. Given the high trading volume of holdings, this strategy has been exposed to liquid assets during these years. More-liquid assets contribute to more-flexible exit strategies without price changes and tend to be a ballast during market selloffs. For example, if the portfolio faces successive redemptions in a short period of time, it will be less likely to suffer from a significant loss. Compared with category peers, the strategy also had more exposure to the Liquidity factor in the most recent month. Additionally, the strategy has demonstrated a contrarian approach with relatively low exposure to momentum stocks during these years. Momentum strategies typically bet that stocks that have recently outperformed will continue to do so, and those that have recently underperformed will keep lagging. Avoiding the former and buying the latter could indicate that managers are averse to chasing momentum. In recent months, the strategy also had less Momentum factor exposure than its peers. More information on a fund and its respective category's factor exposure can be found in the Factor Profile module within the Portfolio section.

The portfolio is overweight in communication services and energy relative to the category average by 7.2 and 6.5 percentage points, respectively. The sectors with low exposure compared with category peers are financial services and industrials, underweight the average by 8.2 and 6.3 percentage points of assets, respectively. The strategy owns 37 securities and is relatively top-heavy. Of the strategy's assets, 50.9% are concentrated within the top 10 holdings, compared to the typical peer's 29.1%. And in closing, in terms of portfolio turnover, looking at year-over-year movements, 131% of the fund's holdings have changed, whether through increasing, decreasing, or changing a position.