Greetings....
We firmly believe next six months will be the period when
market will consolidate. The ongoing corrections do not change our long term
positive views.
Lower crude prices, falling Interest rates & proactive
govt. policies will provide enough impetus for growth in long term. One should
capitalize these opportunities by incrementally investing for long term.
However, volatility will continue in near term till,
·
earnings growth is muted
·
credit growth is low & capex cycle does not
revive
·
lower rates are not transmitted onwards by bank.
In line with same & also from market capitalization
point of view, we continue recommending large cap fund which are more
attractive than mid-cap ones. Mid-caps are recommended post 5 years of time
horizon….
IT sector looks quite attractive since the kind of beating
it has taken in last few trading weeks. With appreciation of INR against euro
seems to have ended & growth prospect being intact tactical advantage could
easily ascertain in this segment from long term perspective.
Debt market would be further streamlining with the
stabilization of exchange rates & no sooner than later banks will start
passing on the benefits to the borrowers. This in itself will be sufficient
reason for the returns to be in healthy territory.
Thanks & Regards
Kajal Gupta
I2isolutions.org
9830293134
