Axis Mutual Fund
- Being an emerging market, India is feeling the heat of trade war between two large economies of the world, US and China.
- Rising oil price and currency depreciation triggered recent volatility in the stock market
- Further interest rate hike by RBI is expected in near term
- Volatility in the market to continue till crude price and rupee stabilises, which may take 6-8 months.
- Companies with good earnings growth will survive the market volatility and shall come out as winners.
- Investment in small and midcaps should be done with minimum 5 year horizon.
- Growth potential, good governance, positive return on capital employed and steady cash flows are main parameters for stock selection and portfolio construction.