Increase in risk appetite to drive rally: AIG Global AMC

Tushar Pradhan, CIO, AIG Global AMC, said the rally can be driven by either change in sentiment or an increase in risk appetite globally. He feels valuations are attractive. "Despite the growth perspective having diminished a little bit, it is not something which people can get absolutely scared about."

Also see: Emerging mkts on cusp of next big bull run: Mark Mobius

Here is a verbatim transcript of the exclusive interview with Tushar Pradhan on CNBC-TV18. Also see the accompanying video.

Q: Do you see this global rally extending beyond the 6-7 weeks that we have had already?

A: I am not much for calling where the markets go. The fundamental side is where my interest is. I think forget about global markets, but in India there was reason to always believe that valuations have come to a level where fundamentals speak for themselves. So, the rally can be driven by either a change in sentiment, an increase in risk appetite globally, or whatever it might be. But when the interest comes back what will show up is that the valuations are attractive, the growth perspective has diminished a little bit, but it is not something which people can get absolutely scared about. That is where the direction of the market will be over the longer-term.

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