Follow Us:
Saturday, May 28, 2022

‘Don’t go ‘bottom fishing’,wait ‘n watch’

Before one goes out shopping for stocks,a wait-and-watch approach might be handy.

Written by Ritu Kant Ojha | New Delhi |
August 10, 2011 2:08:03 am

The unabated free fall in markets,post the US rating downgrade by Standard and Poor’s, is likely to tempt the average investor to go for ‘bottom fishing’. Analysts,however,do not agree on one single strategy to deal with the current Indian equity market situation. They say that before one goes out shopping for stocks,a wait-and-watch approach might come in handy.

“The traders and short-term investors should stay away from the market for at least 2 months,as one can expect some more adverse news from the Western world. However,the medium- to long-term investors,with investment horizon of 6 to 12 months should start accumulating the stocks,” said G Chokkalingam,ED & CIO,Centrum Wealth Management. Head of Investment,India Fidelity International,Alexander Treves,said,“Despite a strong growth outlook and lack of imminent government debt issues,the Asia Pacific region and India in particular,have not been immune to the negative sentiment. However,any companies’ balance sheets are healthy,and we’re finding opportunities to buy stocks on low valuations.”

Dharmesh Pancholi,senior manager at Sharekhan said,“Strategy for long-term investors should be of accumulating quality stocks on declines in staggered way. Investor should be ready to exercise patience.”

Best of Express Premium

Weekly Horoscope, May 29, 2022 – June 4, 2022: Libra, Aries, Pisces and o...Premium
Heat rising over Kerala rally, PFI in no mood to backtrack on ‘camp...Premium
‘Monetisation’ axed, MeitY’s fresh draft to ‘encourage’ cos to share non-...Premium
Supreme Court directions on sex workers: history of the case, and where i...Premium

For all the latest News Archive News, download Indian Express App.

  • Newsguard
  • The Indian Express website has been rated GREEN for its credibility and trustworthiness by Newsguard, a global service that rates news sources for their journalistic standards.
  • Newsguard