HomeReliance MF sees corporate banking sector turnaround over the next 3 years

Reliance MF sees corporate banking sector turnaround over the next 3 years

I see corporate banking sector turnaround over the next three years, since the cycle of capex from the government and private banks is yet to play out said Sailesh Raj Bhan, Deputy Chief Information Office - Equity Investment, Reliance Mutual Fund.

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By Latha Venkatesh   | Sonia Shenoy  July 6, 2018, 7:06:04 AM IST (Updated)

I see corporate banking sector turnaround over the next three years, since the cycle of capex from the government and private banks is yet to play out said Sailesh Raj Bhan, Deputy CIO - Equity Investment, Reliance Mutual Fund.



Speaking to CNBC-TV18, Bhan said the midcap space did well over the last 3-4 years and we are seeing one-year of correction.

Bhan said there is a meaningful correction in the midcap and smallcap, but earnings from the space will be key going forward.

According to him, out of the 13-14 sectors in India, almost nine sectors are doing well.

Talking  on China dependent businesses like speciality chemicals, graphite etc, he said they need an alternative source outside China and could look at manufacturing in India even if it's expensive.

On consumption space and the increase in minimum support price, Bhan said MSP is an important variable that supports the rural sector and could give an uplift to the rural economy.

Overall consumption is doing well and that forms 30% of India’s market capitalisation, said Bhan.