Market has priced in credit market risk; clients are looking to enter market, says Edelweiss

There are fairly good quality companies that one can spot in every sector and try and enter or build positions, he said. Moreover, “In equity markets, there are very high quality initial public offerings (IPOs) coming and hitting the market. That will also revive a lot of investor interest and we are recommending some of those IPOs to our clients,” he noted.

On the economy front, he said, “We should appreciate the proactiveness and the responsiveness of the government and we do believe a lot of initiatives that the government has taken are fairly structural. They are very long-term and they go and enhance India’s competitive edge. For example the corporate tax cut – this is the lowest ever tax rate in India for corporations that we have ever seen.”

He further added, “For the calendar year, the foreign institution investor (FII) flows are one of the best that we have seen in the last six-ten years. We are also seeing flat-lining of economic data. So, we believe the worst data that we had to see is already behind us. As and when the flat-lining happens, as and when this base effect comes into play, we will see a lot more confidence emerging from the investors perspective."

Talking about investment, he said, "Enter fixed income, given your risk profile lock-in long-term yields and in equities, try and find areas of value and start building your portfolios now."

Speaking about their Edelweiss Emerging Ideas Conference, he said it is perhaps India’s largest wealth management conference where they have about 65 companies, about 500 ultra-high networth investors, family offices who all converge under one roof to discuss ideas, opportunities and risks.