Marcellus Investment Managers on Tuesday said that deteriorating state of the financial services sector in the country is a concern.
In an interview to CNBC-TV18, Saurabh Mukherjea, founder, said, "Pretty much every week brings some sort of bad news. So, this pattern will continue barring HDFC Bank, Kotak Bank and Axis Bank, you will see the other banks suffering both on stock price but more fundamentally on asset quality when we get to Q2 results. Once the results come out, the punishment will actually increase. Similarly, in the NBFC sector, exposure to real estate and auto sector will continue to be a bugbear."
He said, "I do not think macro news will be supportive in the next six months or so. So, it will be back to policy reforms in terms of driving the market. If you want to make money in this market, stock-specific, clean companies, cash generators, so it is the same old names like Asian Paints, Nestle, HDFC Bank and Kotak Mahindra Bank. However be careful, I had said a few weeks ago that we are halfway through the financial meltdown. I do get the sense that we are moving to the climatic phase of the financial services sector meltdown over the next 3-4 months."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.