Prashant Khemka, the Founder of White Oak Capital Management, expects investment dollars to start flowing into India sooner rather than later, due to changes in the political landscape.
Khemka, who manages funds worth over $1.5 billion, told CNBC-TV18 that the perceived risk of electoral surprises has significantly lessened, making India a more attractive investment destination.
"A lot of global investors who were sharpening their pencils and wanted to be ready after the Central Elections, I think, would prepone their decision making to maybe this month or next month as it's around year-end timeframe," he said.
He is particularly keen on private sector financials, including non-banking financial companies (NBFCs) and non-lending companies.
"I think private sector financials always present a very fertile opportunity set for us. Over the years or even over the decades, I would say there has been a favourite hunting ground," Khemka emphasised. "Capital market intermediaries, which don't have a balance sheet business but more provide services, those are some fantastic opportunities across the spectrum."
However, Khemka sounded a note of caution regarding certain sectors. He advised being careful in power, defense, and railway stocks, citing stretched valuations, particularly in domestic cyclicals and small-caps.
"The deeper the cyclicality, the farther have the stocks gone this time around, and you have to be just cautious," he said.
(Edited by : Shweta Mungre)