‘Expect correction till market does n’t
close above 5,800’

Indian markets have been an underperformer versus its global peers. How are you feeling about equities in this month? Indian markets have been under performers and have been weighed by the global scenario and domestically political uncertainty and overall slowdown in demand. Equities look very volatile for the whole month as well for April as in past they have been under-performing months comparatively and we do expect some correction,till market does n’t close above 5,800 then correction till 5,400 become a possibility.

Is it advisable to have a stock specific approach at this juncture and start  accumulating at current levels? What is your investment strategy given the current scenario? Which sectors are you bullish/bearish on?

Yes we have been following stock specific approach and would like to continue with the same and these correction levels are giving opportunity to accumulate good quality stocks for  longer term.Our preferred sectors are Fertiliser, Pharma, FMCG. We are bearish onOil&Gas, Metals and PSU segment. 

What’s your view on the whole political uncertainty taking place in the country and it’s impact on the markets?

If the uncertainty on political front continues then reforms can take back seat and in turn will hinder the economic progress and the investor sentiments in the markets.Oil&gas is looking weak as they were out-performers like IOC, ONGC, BPCL and HPCL in first 2 months and if diesel price does n’t come in systematically then these stocks can again correct 6-8%.

The Bank Nifty has  fallen quite a bit over the last few days. How are you
looking at largecaps like State Bank o f India or ICICI Bank?

 Bank nifty has closed below 200DMA 11,370 forlast 3 days, we feel that 8- 10% correction is pending in bank nifty butforlong term investorit would be a chance to accumulate PSU bank stocks and select private sector banks like Yes Bank, Kotak Bank and IndusInd Bank. SBI looks negative and can correcttill 1900 where it becomes attractive buy.One can accumulate ICICI Bank below 925. 

What is your outlook on the mid-and small-cap spaces? Do you find value in any of the stocks from a medium-term perspective?

Mid cap and small caps first get hammered when market corrects but this gives opportunity to accumulate good quality stocks from these spaces. We like Speciality Restaurants, Cadila, HSIL, Talwalkars, EverestInds, Coromandel International, GSFC and JK Cement.