Sridhar Sivaram, investment director at Enam Holdings, is upbeat on sectors such as consumer goods and financials. CNBC-TV18 caught up with Sivaram and discussed the rationale for his optimism.
"Consumption on the back of impending elections and the spending that may take place. IT remains a very stock specific story," he said on Thursday.
Sivaram said as a brokerage house, they are long on financials for many reasons. He said there is lot of room for monetary easing.
Within the financials, they like the corporate banks and expect easy money to be made there. "Credit costs for these banks is coming down and will normalise in 2019-20 and significantly after that", he said,
“With regards to corporate banks, we are not taking in any benefits of the IBC but just playing on the fact that growth is coming back for the banks, credit costs will normalize and given that the NBFCs have seeded some space that will benefit some of the corporate banks,” said Sivaram.
He is very cautious on NBFCs and more so the HFCs because the NHB does not have enough disclosure norms for HFCs.
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