MAM
Clix Capital salutes Indian MSMEs determination with Jazba campaign
Mumbai: Clix Capital, one of India’s fastest-growing new-age NBFCs, has announced the launch of a new campaign ‘Har Jazbe Ke Liye’, which celebrates entrepreneurial journeys and determination of MSMEs from across the country’s length and breadth, that has been made possible by its quick and accessible business loans, school financing, loan against property and healthcare equipment finance. Recognising that passionate business owners, entrepreneurs, and professionals often need access to timely and adequate finances to support their ventures and aspirations of supporting society, Clix Capital’s new campaign demonstrates how it stands firmly with individuals carrying the indomitable spirit, with the principal thought ‘Har Jazbe Ke Liye’.
To announce the campaign, the company has launched three digital films on its owned channels i.e. LinkedIn, Twitter, and Instagram. The digital films are conceptualized and produced by House of Omnific in association with Clix Capital. Through this campaign, the company salutes the fighting spirit of entrepreneurs and small business owners who strive for excellence despite being financially underserved.
The series of three ad films showcase the unwavering commitment of a doctor, who can procure a hi-tech CT scan machine at his clinic in a small town, a principal of a school who can promote girl child education and help students with digital skilling by adding a computer lab facility, and a woman entrepreneur who can scale her feminine hygiene products business to meet rapidly growing rural demand.
India as a country is growing rapidly and is on its way, to being the third-largest economy in the world by 2027. Sectors like healthcare equipment, MSMEs, and education are the major contributors to the Indian economy and have played an integral role in employment generation. The sectors also support India’s dream of becoming a $5 trillion economy.
With this campaign, Clix Capital aims to reaffirm its commitment to empowering Indian MSMEs with its array of financial solutions leading them on their path to success. It is this indomitable spirit that forms the cornerstone of Clix Capital’s ethos. This campaign is aligned with the purpose of the company i.e. being a responsible lender that is taking strides towards developing the India of the future.
Commenting on the launch of the Jazba campaign, Clix Capital CEO Rakesh Kaul said, “We at Clix Capital are committed to the holistic development of the nation and creating a positive impact on the lives of thousands of entrepreneurs that are seeking loans to grow their businesses. With the launch of the Jazba Campaign, we aim to salute the courage of our customers who are ready to take the next step in their entrepreneurial journey. As a lender focused on meeting the financial needs of underserved MSMEs and entrepreneurs, we are constantly inspired by the resilience and passion of the people we serve. We truly believe in the India growth story and are proud to be a part of the journey of the ever-growing community of pool of homegrown businesses and enterprising ventures that building the future of the country.”
Recently, Clix Capital entered into a co-lending partnership with Karnataka Bank to extend loans to MSMEs across India. The company had reported strong results in the H1’FY23 with over Rs 5000 crore AUM and a 200 per cent surge in PAT. The company also created a new milestone of disbursing over Rs 20,000 crore of loans in total, having supported thousands of deserving MSMEs and SMEs for their growth ambitions and in creating jobs for our economy. The company is expanding its Phygital coverage rapidly, with a presence in 28 cities and covering over 50 locations across India. With a workforce of over 650 employees, Clix Capital aims to make significant strides towards its 10,000 Crs AUM journey.
Risk and return maintain inverse proportionality within mutual funds – higher potential rewards accompany elevated volatility, while stability demands lower expectations. SEBI’s Riskometer (1-5 scale) standardizes visualization, but quantitative metrics reveal nuanced relationships across categories and market cycles.
Fundamental Risk-Return Relationship
Equity funds (Riskometer 4-5) deliver historical 12-16% CAGR alongside 18-25% standard deviation—large-cap 15% volatility, small-cap 30%+. Debt funds (1-2) yield 6-8% with 2-6% volatility. Hybrids (3) average 9-12% returns, 10-14% volatility.
Sharpe ratio measures return per risk unit – equity 0.7-0.9, debt 0.5-0.7 over complete cycles. Higher risk categories compensate through return premium capturing economic growth.
Volatility Metrics Explained
Standard Deviation: Annual NAV return dispersion—equity 18-22%, debt 4-6%.
Maximum Drawdown: Peak-to-trough losses – equity 50%+ (2008), debt 8-12%.
Beta: Market sensitivity – equity 0.9-1.1, debt 0.1-0.3.
Sortino Ratio focuses downside volatility—equity 1.0-1.3 favoring recoveries.
Value at Risk (VaR) estimates 95% confidence, worst 1-month loss: equity 10-15%, debt 1-2%.
Category Risk-Return Profiles
Large-cap equity: 12-14% CAGR, 15% volatility, Sharpe 0.8.
Mid/small-cap: 15-18%, 22-30% volatility, Sharpe 0.7.
Corporate bond debt: 7-8%, 4% volatility, Sharpe 0.6.
Liquid funds: 6.5%, <1% volatility—capital preservation.
Credit risk debt: 8.5%, 6% volatility—yield pickup.
Hybrids: 10-12%, 12% volatility—balanced exposure.
Review types of mutual funds specifications confirming mandated asset allocations driving profiles.
Historical Risk-Return Tradeoffs (2000-2025)
Complete cycles: Equity 14% CAGR/18% volatility; 60/40 equity/debt 11%/11% volatility; debt 7.5%/5% volatility. Bull phases (2013-2021): equity 18%, debt 8%. Bear markets (2008, 2020): equity -50%/+80% swings, debt -10%/+10%.
Inflation-adjusted: Equity 8% real CAGR; debt 1.5% real—growth funding requires equity allocation.
Risk Capacity Assessment Framework
Short-term goals (1-3 years): Riskometer 1-2 (liquid/debt), 2-4% real returns. Medium-term (5-7 years): Level 3 (hybrid), 4-6% real. Long-term (10+ years): Level 4-5 (equity), 6-9% real.
Personal factors: Age (younger = higher risk), income stability, emergency fund coverage, other assets. Drawdown tolerance—20% comfortable vs 40% discomfort signals capacity limits.
Portfolio Construction Principles
Diversification: 60/40 equity/debt reduces volatility 40% versus equity-only while capturing 80% returns.
Correlation: Equity/debt 0.3 average enables smoothing.
Rebalancing: Annual drift correction sells outperformers (equity +25%), buys underperformers (debt -5%).
Style balance: Large-cap stability offsets mid-cap growth volatility.
Quantitative Risk Management Tools
Sharpe Ratio: >1.0 indicates efficient risk-taking.
Information Ratio: Alpha per tracking error.
Downside Deviation: Focuses losses only.
Stress Testing: 2008 scenario simulations reveal portfolio behavior extremes.
Conclusion
Higher mutual fund risk levels correlate with elevated return potential – equity 12-16% amid 18-25% volatility versus debt 6-8%/4-6%. Risk capacity matching, category diversification, rebalancing discipline, and quantitative metric interpretation align portfolios with personal tolerance across economic cycles.
Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.
