Could be a multi year bull market for Asia: Puru Saxena

Excerpts from Power Breakfast on CNBC-TV18 Watch the full show » ALSO READ See what other FIIs are saying about the markets See what other experts are saying about markets See what Udayan Mukherjee is saying about the markets

Asian markets off to a shaky start after Wall Street stocks succumb to profit-taking on Friday and banks hinted that March had been a tougher month than the previous two.
Asian stocks slipped for the first time in six days after commodities prices tumbled and on speculation that a recovery for banks will be delayed. Japanese industrial production fell for a fifth month in February, the longest losing streak since 2001, as exports collapsed.
Puru Saxena, CEO OF Puru Saxena Wealth Management said, I don't think that this bear market has further to run, I think we could also be in the early stages of a multi year bull market for Asia, so I would be a buyer on weakness."

Here is a verbatim transcript of the interview with Puru Saxena on CNBC TV-18. Also see the accompanying video.

Q: Is it a technical correction happening in Asia and in case we do not get a coordinated fiscal stimulus announcement, then what is your sense do you see more correction lying ahead?
A: In the immediate future the markets may come off a little bit because we have had a nice bounced over the last 2-3 weeks. However the lows recorded last fall where internal lows of this bear market and the lows we saw in the beginning of March was just corrective action, a bottoming out process.
I don't think that this bear market has further to run, I think we could also be in the early stages of a multi year bull market for Asia, so I would be a buyer on weakness.

See how Asian markets are doing
Q: Its been interesting to hear comments from the banking industry as how they earlier said January-February were profitable but in front of President Obama there were statements that March was seeing slowdown- what does it spell for the entire banking pack and do you think Asian banks may also follow suit with comments like March may not be profitable enough?
A: I don't like the banking sector because history has shown that whenever a sector has gone bust up that sector has never ever provided leadership in the next cycle. If one looks at the technology, most of the technology shares are still 60-70% below the highs recorded in 2000 and the financial shares are also going to go the similar way. I don't think banking shares are going to run upwards over the next few years. I think the leadership will come from other areas.
Even now the banking balance sheets aren't very clear. I have given up trying to read balance sheets of banks because there are too many SIVs and offshore structures which are not being fully disclosed and so I would stay well clear of banks and look at other assets.

Q: What is your sense of auto stocks considering we are seeing change in managements across to major organizations?
A: I don't like the auto stocks in the West but whenever the recovery does come, I would look at buying auto stocks in Asia. For example if one looks at Toyota they are leaders in the hybrid segment for the car markets, also some Chinese Companies and also Tata Motors is quite attractive with the new Nano.So I would stay clear of the companies in West which aren't any competitive any longer and buy Asia.