I don't care what happens to crypto, says Mohnish Pabrai

Ace investor and founder of Pabrai Investment Funds, Mohnish Pabrai, doesn't care about cryptocurrencies as it is not relevant to his investment philosophy. This is despite Bitcoin topping $44,000 in overnight trade on Tuesday, adding nearly $2100 from its previous close. The world's biggest and best-known cryptocurrency has risen more than 150% so far in 2023 and is on course for its best annual performance since 2020.

"I don’t care what happens to crypto. It is irrelevant. My focus is on the businesses that I do have an interest in, that we do have money invested in, and so on," Pabrai said in an exclusive interview with CNBC-TV18.

Pabrai's refreshing approach challenges conventional norms, showcasing his willingness to navigate uncharted territories in pursuit of sound and unconventional investment opportunities.

Highlighting the peculiarity of his investment portfolio, Pabrai disclosed, "I have the most bizarre portfolio one can imagine today. Half the money—close to 40–50%—is invested in Turkey in three stocks. Another 25% or so is invested in the coal industry in the US and a little bit in India."

Expressing his views on the current state of the US market, Pabrai mentioned that he finds it to be either fully priced or overpriced. This assessment has likely influenced his unique allocation strategy, steering away from conventional investment norms.

Pabrai also shared his thoughts on the Indian market, noting that while it is not challenging to identify great businesses, the real difficulty lies in finding them at attractive valuations. He suggested that the small and midcap sectors in India might hold potential, although being present in the country consistently is crucial for optimal results.

"I don’t see as much opportunity among the larger Indian businesses, but I do believe that India Inc will do extremely well," Pabrai explained, reflecting his optimism about the broader trajectory of the Indian economy.