One needs to be a lot more picky and choosy about the stocks, said Jigar Shah, CEO, Kim Eng Sec India.
"I think the smallcap and midcap space provides the opportunity for outsized returns," he said.
We have also been doing a micro analysis when we are looking at any of the companies within our existing coverage or when we are looking at the new coverage, he added.
"So the quality of governance, cash flows, dividends, and the consistency of the communication of the company is very important, the disclosure quality is very important. So these are some of the things that we are looking at very minutely as well as also informing the clients accordingly,” he said.