Haresh Me­hta

Chief In­sti­tu­tional Trader First Global

Dalal Street Investment Journal - - COVER STORY -

The strong bull mar­ket is yet to come for small-caps and mid-caps. I feel the large­cap may con­tinue to dis­ap­point us in terms of earn­ings. I be­lieve small-caps and mid-caps re­main the best bright spot to in­vest in. The bunch of stocks from the chem­i­cal sec­tor will con­tinue to out­per­form. In­dian spe­cialty chem­i­cal busi­ness is ex­pected to reach USD 70 bn by 2020. Hence, in­vestors look­ing for up­side over the next 12 months can look at in­vest­ing in spe­cialty chem­i­cal stocks. Peo­ple with a high-risk ap­petite can ac­tu­ally look at in­vest­ing in some of the in­fra­struc­ture com­pany stocks hav­ing cur­rent mar­ket cap be­low Rs 500-1000 crore, which at­tracts me a lot. The debt re­duc­tion pro­gramme and the lower in­ter­est rate is go­ing to re­vive for­tunes for in­fra com­pa­nies as it is go­ing to save a lot of in­ter­est cost and will help them to grow at a sus­tain­able growth rate. The dy­nam­ics of In­dian mar­kets are evolv­ing in such a way that our de­pen­dency on FII in­flows has less­ened. Small and mid-caps are be­com­ing an im­por­tant part of the in­sti­tu­tional portfolio across the globe. There­fore, I would sug­gest Buy in this space be­fore FIIS get into this trade. This is the space where a lot of money is ex­pected to flow in.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.