Talking about the RBI policy, Ajay Srivastava, CEO of Dimensions Corporate Finance Services, said they expect the Central Bank to cut rates by 50 basis points because 25 basis points are already factored in. If there is a 50 basis point cut then it will give some lift up to the market.
Ajay Srivastava, CEO of Dimensions Corporate Finance Services, believes outguessing the market would not be the right strategy. It would be prudent to just wait and let the market find its level, he said. "So, one must be calm and hold on to what they have and not aspire to buy what they don’t have," he advised investors in an interview with CNBC-TV18.
Talking about policy proposals, he said announcements do not create economics and market, at the most they could create short-term uplift to the sentiment. According to him, the reversal in sentiment is beyond policy action and sentiment will improve only once the market production orders start picking up, when people start coming to the market and spend.
So, it would be prudent to wait and take your mind away from the stock market and look at all the other products, asset classes because they could help balance the portfolio even though the pricing of some shares may look attractive, said Srivastava.
Talking about the RBI policy, he said they expect the Central Bank to cut rates by 50 basis points because 25 basis points are already factored in. If there is a 50 basis point cut then it will give some lift up to the market.
“Tomorrow 50 basis points cut look clearly on the table, the way the government is going because this government is not going for short steps on the political front, so need for them to be on short steps on the economic front,” he said.
When asked about the correction in RBL Bank, he said there is nothing wrong with the bank, the correction was mainly due to high valuations and now it has rerated back to a normal state from the extraordinary exuberant state.
Talking about their investing strategy, he said, “I am not selling my equity portfolio, not selling FMCG, MNC portfolios and neither the PSUs because the dividends are coming at a good pace. All I am doing is not adding up stocks at this point of time and sticking to what I have.”
“See no reason to add to equity portfolio at this point of time. If the US corrects more, we need to add more US stocks because that should give better returns,” said Srivastava.
Source: CNBC-TV 18Subscribe to Moneycontrol Pro and gain access to curated markets data, exclusive trading recommendations, independent equity analysis, actionable investment ideas, nuanced takes on macro, corporate and policy actions, practical insights from market gurus and much more.
