Mike Sell from Alquity Investment Management is our Fund Manager of the Month
3 DEC, 2025
By Joanna Piwko from RankiaPro Europe
Mike Sell joined Alquity in 2014 and is responsible for all equity investments across Global Emerging Markets. He has over 30 years’ experience investing in Emerging Markets equities. He joined Baring Asset Management as a graduate trainee in 1994, where he became a member of the Emerging Market Asset Allocation Committee. Mike then joined Thames River / Nevsky Capital where he was subsequently appointed a partner and was part of the team that grew the Emerging market equity assets from approximately US$150m to US$3.5bn, before moving to F&C with the long only Emerging Market business in 2011.
Why and how did you decide to go into the financial sector, did you have any other vocations?
I first became interested in the stock market during the Thatcher privatisations. Growing up in a small town in Hertfordshire, I was also fascinated by overseas markets and wanted to combine both interests. At university I wrote my dissertation on Development Economics which reinforced my desire to pursue a career in financial markets.
What is your view of the current macroeconomic environment and how might it affect markets? How does uncertainty affect emerging markets?
We’re seeing diminished uncertainty around tariffs, which is a clear positive. Furthermore, lower rates across both developed and emerging markets are providing a supportive backdrop, while growth in many emerging economies is accelerating. For us, the focus remains on strong structural domestic growth stories. The best way to navigate uncertainty in emerging markets is by concentrating on fundamentals and diversification – what I often call the “two Ds”: domestic demand and diversification.
How should investors orient their portfolios in this environment? What are the biggest risks facing investors?
Emerging markets remain cheap and relatively unloved, which presents an attractive entry point. India, in particular, offers an outstanding structural growth story and merits a dedicated allocation, especially given its low correlation with the US. The biggest risk right now is that certain asset classes continue to be overlooked by investors, meaning opportunities are being missed.
What differentiates the Alquity Indian Subcontinent Fund from others and what advantages can it bring to an investor’s portfolio in the current scenario?
The Alquity Indian Subcontinent Fund has the flexibility to champion the ‘best of India’ beyond mainstream indices and across its full market cap spectrum. This enables us to harness attractive growth potential of overlooked small-cap opportunities. With a high proportion of holdings focused on the domestic economy, the Fund is positioned to benefit directly from India’s powerful internal growth drivers such as urbanisation, retail transformation, and the rapid expansion of travel and leisure. The fund provides investors an opportunity to invest in the sectors and companies that will drive the “New India” and not the usual suspects from yesteryear found in passive strategies and larger index-plus funds. In addition, Alquity also donates 10% of its revenues to support economic empowerment projects in India, providing a hand-up to the poorest in society.
Can you give us an example of a position that you have held for a long time in your portfolios and why? How would you describe Alquity’s investment philosophy?
One example is V-Mart, a retailer tied to rural India’s growing consumer market, thus benefiting from India’s amazing demographics and the increasing formalization of the retail sector. I’ve met with management more than 20 times and also find their approach strongly aligned with our ESG principles. It’s a company that truly embodies our philosophy of investing in long-term quality growth, that is predominantly domestically driven.
What macroeconomic data are most important to monitor in order to manage investments? What do you consider most important when including a company in your portfolio?
Traditional macro indicators play a role, but we find it far more valuable to speak directly with company management teams to get a sense of what’s really happening on the ground. This is especially important in vast markets like India and China, where data can often be slow, unreliable, or misleading. When we select a company, we focus on whether it fits within a long-term structural theme, has strong ESG credentials, and possesses a durable competitive moat.
What ratios does a company have to meet to be part of your portfolio? How is Alquity’s selection process structured?
We are not constricted by set ratios due to the diverse and rapidly growing markets we operate in. We implement a rigorous risk framework across all our strategies to ensure our portfolios achieve our desired risk/reward characteristics. Our investment process has three stages. First, we screen for companies that fit into long-term structural themes in India and demonstrate strong ESG practices alongside a sustainable competitive moat. Second, we carry out detailed fundamental analysis, including valuations (using DCF and peer comparison) and close engagement with management teams. Finally, we construct a high-conviction, diversified portfolio, balancing risk and return while staying true to our quality growth and ESG philosophy.
What do you like to do in your free time?
Outside of work, I enjoy spending time with my Spanish Water Dog, Maxwell, and pottering around in my garden.
