The Modi 3.0 version I feel will be slightly different from earlier two versions. As you mentioned, coalition politics restrictions can come into play. But knowing his rule in Gujarat as the then CM, he is a man not easily put off from his mission because of pressure tactics. And as the equation stands, he is well placed to withstand any drama from one or two partners.
However as investors I think there could be some slight change in my stance in approaching markets and stock picks. I think the immensely popular and most fancied themes of past few months viz. PSU, railways, defence, power etc some of which were already commanding crazy valuations might be in to face some hibernation. How long this lasts is anyone’s guess.
The recent rally in FMCG (which is now on most investors’ lips has brought focus to the sector. I think there are other sectors that will also join the bandwagon. I think in the backdrop of issues related to govt instability due to coalition politics might change the perception of a lot of HNI/DII/FII etc On ground reality might not be too much in terms of govt collapse, but the perception of the above mentioned folks matters bcos they control the big moneybags. So sectors that are not too vulnerable to govt instability like pharma, fmcg, IT, and other standalone companies having good prospects should do well.
And there can also be more frequent corrections induced by true or imagined fears which are these days amplified by Whatsapp and other such platforms.
Subscribe To Our Free Newsletter |