In an interview to CNBC-TV18, Pankaj Murarka, founder of Renaissance Investment Managers, discussed the fundamentals of the market. He also spoke about specific stocks and sectors.
Talking about corporate banks, Murarka said, “We continue to hold that (positive) view on corporate banks; my view is, essentially, that the next corporate cycle or the next investment cycle that we are going to witness in India will probably be one of the cleanest investment cycles in the corporate cycle that India would have ever witnessed. Corporate banks are starting that cycle on a very clean balance sheet and at the same time now we have a legislature or law in place to deal with stressed assets.”
Speaking about pledged shares, Murarka said, “Usually we never used to look at some of these things but they have become relevant in today’s context. I think clearly what is coming out is a lot of management or promoters have been using a lot of indiscretion and they have been using their promoter holding as a currency to borrow and fund some of the other ventures. My own view is that we need to have some check and balances on promoters' ability to use their own promoter holding in companies ...”Disclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.