Don’t expect surprises from RIL; diversify into largecaps: HSBC Global AMC

HSBC Global Asset Management believes that earnings growth will continue to improve hereon, Tushar Pradhan, chief investment officer (CIO), told CNBC-TV18. However, Pradhan also said to not expect any major surprises from Reliance Q1FY22 numbers today.

Speaking in an interview with CNBC-TV18, he said, “The earnings growth, whichever way you look at, is boosted by either the change in tax laws, increase in margins, pent-up demand; it appears that there is a strong momentum on corporate earnings.”

On Reliance Q1FY22 numbers, Pradhan said, “Well-researched stock such as this is not going to provide any surprises on the earnings but it will give an indication of what the future holds and they already have made a fairly big announcement in terms of a green initiative that they want to take and it’s close to our thought process when it comes to global investing.”