Early Life and Education
Karthik Sarma was born in India around 1975 and grew up in Kerala. His family background was marked by close ties, particularly with his father, whose initials were S.R.S. He lost his father at the age of 15, an event that profoundly influenced his later life choices. Sarma earned a Bachelor of Technology in Mechanical Engineering from the Indian Institute of Technology Madras in 1996. During his time at IIT Madras, he was known by the nickname "Fido" and participated in extracurricular activities. Following his graduation, he pursued advanced studies at Princeton University, where he obtained a Master of Science in Operations Research and Financial Engineering in 1998.
Rise to Success
Following his graduate studies, Sarma worked as a consultant at McKinsey & Company in New York for three years. In 2001, he joined Tiger Global Management, where he rose to managing director and partner over five years. In 2006, Sarma founded SRS Investment Management, naming it after his father, and has since built it into a prominent hedge fund.
Key Business Strategies
SRS Investment Management is a long/short equity hedge fund specializing in value-oriented investments in public markets. The firm focuses on generating superior risk-adjusted returns through fundamental research. The firm has achieved significant returns, including a 35% return in 2021, driven in part by a 456% surge in Avis stock. Sarma is known for his deep, research-driven conviction and long time horizons. SRS Investment Management manages approximately $10 billion.
Philanthropy
Sarma is recognized for his philanthropy, including supporting the IIT Madras Wellness Centre to promote mental health services, inspired by his experiences during college. He has provided significant funding to promote mental health and holistic well-being among students.
