Bought once, held for long Ten companies in the DSP Small Cap Fund portfolio have been held for over a decade. Around 70% of the equity portfolio has been held for three years or more. We’ve generally preferred to give a good business time rather than keep looking for the next idea.🧵(3/7)

True to label As of August 2026, ~82% of the DSP Small Cap Fund portfolio was in small cap stocks, around 13% in cash and the rest in mid caps. There was no active allocation to large caps. The cash is deliberate. When small caps fall sharply, it lets us buy good businesses without selling something else to fund it. It also helps us meet redemptions in a falling market without being forced to sell at the worst time.🧵(4/7)

Your holding period matters Over one-year periods, DSP Small Cap Fund delivered negative returns about 27% of the time. But the longer you stayed invested, the less frequent those negative periods became. Over five years, returns were negative only 0.5% of the time. How long you stayed invested mattered far more than when you entered.🧵(5/7)

Volatility is part of the deal One company in DSP Small Cap Fund fell 74% from its peak. We continued to hold and added as the business improved. Since our first investment, the stock has grown 18x. Staying invested through such extreme volatility was not an easy decision but was important.🧵(6/7)