See significant value in midcaps for long term investors, says Punita Kumar Sinha

“Right now at least for all foreign investors the action is all focused and the headlines are focused on China,” she said.

Talking about India growth, she said, "It looks like the worst is behind us, the financial sector crisis seems to have subsided, and inflation worldwide is not going up, China is easing liquidity and giving fiscal stimulus – all this will help growth pick up. Although the government spending will be slow till the new government is formed but the private sector is stepping in, credit growth will pick up and so things will improve going forward."

With regards to autos, she said, "Rural-oriented autos should do well on the back of stabilization in interest rates and rural spend. Moreover, steel prices have also come off."