SEX is reaching new high’s, investors portfolios are not going up. Reasons why it is not? Only a handful of stocks are moving up in price, why it is so? What is happening to the broad market? SEBI, recategorization, high valuations along with why fund managers were forced to park money in small & mid-cap segment in 2017. Why they are now parking funds into large cap, which has been doing well and taking SENSEX up. Not to have concentrated exposure, diversification is good. India is poised for big growth, keep off worries and take advantage of growth.
After the correction in the markets that set in post the budget session following Global trade war, Crude Oil price increase and stress on financial assets due to expected interest rate hikes, markets had a sharp bounce back in April. SENSEX recovered more than 5% in April almost getting back most of the losses in Feb & March. Our portfolio has managed a growth of 10.20%, which was possible due to our strong portfolio of stocks. Investments into Specialty Chemicals, Metals, Electrodes, Graphite & Carbon Black helped us have the enormous edge of giving almost double the returns given by SENSEX to its investors. Private banks facing challenges with their CEO’s, Election year volatility is likely to bring more volatility into the markets. Markets are likely to touch lows once again before turning bullish. The next visit of SENSEX to 32500 levels will be a good opportunity to invest into the markets as it will be a base and give immediate gains.
MF forecast on India’s GDP growth for 2018 and 2019 which took the SENSEX and NIFTY to their new high of 36000 and 11000 respectively. A new high and how it is beneficial to the investor. India’s visibility in the Davos, World Economic Forum meeting where our Prime Minister Mr.Narendra Modi opened the meet with his keynote speech. India’s development in the last 20 years.