While major economies believe that recession is a thing of the past, Rajat Jain, chief investment officer, Prinicipal Mutual Fund, tells Sarmistha Neogy that economic conditions across the world are still very challenging and international markets may not see any significant rally in the near future
What is your investment strategy given the current volatility and economic conditions? Are you fully invested?
Given the current market scenario, our strategy is to invest in companies with good earnings visibility and a diversified portfolio, while avoiding excessive underweights and overweights to the benchmark.
Which sectors do you think will do well in 2010?
It is going to be a year for bottom-up stock-picking. But, we think pharma, capital goods and cement sectors should perform well.
Has new money started coming into equity mutual funds?
Equity funds saw inflows throughout 2009. The situation has been the same this year as well. However, the quantum of such fresh inflows has not been not very large.
What is your take on the international markets? Is the worst behind us?
We think that global macro-economic conditions remain very challenging and most developed countries will have weak economic growth over the medium term. Hence, while the worst may be behind us, we do not see these markets rallying significantly.
Source: http://www.business-standard.com/india/news/it-will-beyearbottom-up-stock-picking/390871/
What is your investment strategy given the current volatility and economic conditions? Are you fully invested?
Given the current market scenario, our strategy is to invest in companies with good earnings visibility and a diversified portfolio, while avoiding excessive underweights and overweights to the benchmark.
Which sectors do you think will do well in 2010?
It is going to be a year for bottom-up stock-picking. But, we think pharma, capital goods and cement sectors should perform well.
Has new money started coming into equity mutual funds?
Equity funds saw inflows throughout 2009. The situation has been the same this year as well. However, the quantum of such fresh inflows has not been not very large.
What is your take on the international markets? Is the worst behind us?
We think that global macro-economic conditions remain very challenging and most developed countries will have weak economic growth over the medium term. Hence, while the worst may be behind us, we do not see these markets rallying significantly.
Source: http://www.business-standard.com/india/news/it-will-beyearbottom-up-stock-picking/390871/
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