Ahead of the interim budget and the 2019 general elections, CNBC-TV18 catches up with leading global market masters about how they are approaching these two crucial events. We also try to glean the global context in which the Indian economy and earnings are situated. Latha Venkatesh caught up with Venkatesh Sanjeevi, senior investment manager at Pictet Indian Equities to understand his views.
Sanjeevi said, "Over the last one year or so India has outperformed the rest of emerging markets. One set of investors are bullish on India for the long term and are happy to stay invested despite the recent outperformance. Another set thinks that since countries like China have corrected, the valuation gap of India against the rest of emerging markets has increased so, it is time to rotate money out of the country and go into other emerging markets. In Pictet Asia fund, we are overweight in India right now and we are happy to stay invested."
On the interim budget, he said, "We should not look at one particular announcement of farm package in isolation. The budget is quite important but the news flow right now is about a large farm loan package coming up. However, what we should watch out for is what is the impact of this on the overall fiscal balance of the economy.