Portfolio Management · Indian Equities
We manage portfolios to the long beat.
Rhythm Capital runs concentrated, rules-based equity portfolios for long-horizon investors — powered by Focal, our platform that runs 1,900+ Indian stocks through a three-tier funnel at every close, and puts every decision on the record.
Every rule was built and stress-tested on twelve years of simulated market history. The full record — with every caveat — lives on the evidence page.
01 — The Funnel
Every close, Focal runs the entire investable universe through three progressively harsher gates. Almost nothing gets through — that is the point.
Universe
Every serious candidate
Tier 1 · Watchlist
Right shape, waiting
Tier 2 · Signals
Breakout confirmed
Tier 3 · Portfolio
Capital committed
Universe: NSE stocks with market cap ≥ ₹500 Cr. Tier counts vary with market conditions; portfolio positions are entered only as signals qualify.
02 — The Method
Every position we take passes the same four gates — in the same order, every time. Scroll through the anatomy of a single trade.
Condition 01 · Trend cross
A stock spends months falling, then basing. We act only when the stock’s own monthly trend measurably crosses upward — and the rally behind the cross shows genuine thrust. A printed turn, not a rumored one.
Condition 02 · Momentum reset
We require proof that momentum passed through a genuine corrective phase before the rally. Stocks in vertical, uninterrupted uptrends are exactly the ones we refuse to chase — the steepest moves begin from rest.
Condition 03 · The line is drawn
Price gives back ground and rests — the pause before the run. The peak of the rally is marked as the fractal high: the exact line the stock must clear for the new trend to be real. It is drawn before a single rupee moves.
The trigger · Two closes, no exceptions
One daily close above the line can be a gap that fades by Friday. Two consecutive closes is commitment. Only then does capital move — confirmation, not prediction, with every condition on the record.
The exit · One rule, monthly
Nothing ends a healthy trade except the monthly momentum rule. When it fires, the gain is booked and the ledger is closed — no second-guessing, no round trips. Whatever the stock does next is no longer our trade.
03 — The Ranking
Clearing the gates earns a stock consideration — not capital. Before anything is bought, three independent lenses grade it. What they see decides not just entry, but size.
Alpha
Is the move genuine — and is it still early? Alpha grades the character of the momentum and refuses stocks already deep into their run. It exists to keep us out of last year’s story.
Velocity
How fast is the trend compounding right now? Velocity separates steady climbers from the market’s fastest movers — the small group of stocks where time itself works hardest for the portfolio.
Strength
Is the stock leading alone — or with its whole neighbourhood? Strength checks the stock, its industry, and its sector against the market. Leadership on all three legs is rare, and prized.
The lenses are independent on purpose: each can be wrong alone. Position size is set by how many of them agree — a ladder written down in advance, applied the same way every time.
Conviction never sets size. The ladder does. Entries where the lenses agree strongly are what we call Tier+ — historically a small minority of all signals.
04 — The Cadence
Discipline is not an event — it is a schedule. Four beats repeat, in the same order, whether we feel like it or not.
Monthly
All ~1,900 stocks are re-run through the structural gates and the watchlist is rebuilt from zero. No favourites carried over, no names grandfathered in.
Daily · at the close
Focal checks every watchlist name against its breakout line at the close. If no rule fires, nothing happens — and most days, nothing happens.
Quarterly
Every holding is re-scored on the same measurements that selected it. A position that loses its reason to exist is cut — before hope becomes a strategy.
Always
Every position carries its exit rule from the moment of entry. We never decide to sell — we obey a decision that was made in advance.
05 — House rules
Always
Never
The numbers
Win rates, year-by-year results, the trades themselves — kept deliberately separate from the story, with every disclaimer attached, so you can judge the record coldly.
06 — Working with us
We manage a small number of long-horizon portfolios with the same method, the same platform, and the same discipline you've just seen. Here is how an engagement unfolds.
01
A no-pressure call about your horizon, your expectations, and whether a systematic, concentrated approach fits you. We say no when it doesn't.
Fit first02
A full walkthrough of the four conditions, the backtest, and the exits — with disclaimers, trade history, and nothing held back. You should know exactly what you're buying.
Full transparency03
A concentrated book built position by position across 12–14 industries, entered only as signals qualify — never all at once. Position sizes and risk limits are set by rule, not by mood.
Staged · never all at once04
Focal watches every holding daily. Exits fire on rule, you see every trigger, and you receive plain-language reporting on what moved and why.
Daily · on the recordEngagement structures, eligibility and regulatory scope are discussed individually before onboarding. Nothing on this page is an offer or personalised advice.
07 — The platform
Focal is our proprietary engine — the full methodology, systematized into software that scans the entire Indian equity universe at every close.
08 — Questions
Rhythm Capital publishes educational, systematic research. We are not a registered investment advisor or portfolio manager, and nothing on this site is personalised advice or an offer of services. Formal engagement structures and their regulatory scope are discussed individually — write to us and we'll explain exactly what applies.
Long-horizon investors and allocators who prefer a rules-based, repeatable process over tips and narratives — and who can leave a portfolio alone for 18–24 months at a time. If you measure results in years rather than days, we'll likely get along.
A concentrated portfolio of roughly 30 Indian equities across 12–14 industries, entered as signals qualify, monitored daily by Focal, and exited strictly on rule. You see every trigger and receive plain-language reporting.
They are simulated backtest results over the NSE universe from December 2013 to April 2026 — 2,716 completed trades in 1,084 stocks, gross of taxes, costs and slippage. We keep them off this page deliberately: the complete year-by-year record, with every caveat attached, lives on our evidence page, and the full methodology is shared in conversation. Past simulated performance is never indicative of future results.
Fees depend on the engagement structure, which we discuss openly on the first call. No fee is charged for the conversation, the method walkthrough, or the backtest review.
Send a short note using the form below. We respond personally to every introduction, usually within a day, and begin with a no-pressure conversation about fit.
09 — Reach out
Rhythm Capital works with a small number of long-horizon clients. We respond personally to every introduction.