Worst isn't over yet; Blackstone sees low investor interest
The market has been quite a laggard of late and the trend doesn’t seem to be changing any time soon. According to Punita Kumar Sinha of the Blackstone Group, the worst is not over yet. "Though valuations look better going forward in FY12, I don't expect much happening on the political front."
June 10, 2011 / 11:29 IST
The market has been quite a laggard of late and the trend doesn't seem to be changing any time soon. According to Punita Kumar Sinha, senior MD at the Blackstone Group, the worst is not over yet.
"Though valuations look better going forward in FY12, I don't expect much happening on the political front. In fact, macro headwinds and corporate governance are key concerns for us. Thus, we are cautious on India at the moment," she told CNBC-TV18 in an exclusive interview.Talking about global investors' interest in India, she said, "Most US investors are underweight on India. Moreover, the corporate sector is concerned on price hiked due to high inflation, which has become a structural issue for consumer companies." (But RBS feels otherwise. Click HERE to read more)Not seeing much of a positive sentiment for the market, Sinha said, she would focus on fundamentals of companies instead. In that too she has a stock-specific approach on the banking sector. Furthermore, still overweight on the auto space, Sinha is now also bullish on pharma and consumer discretionary sectors. (Read more on this HERE)Globally too things are not too bright. "The US macro data looks very soft. Plus, QE3 is unlikely to come through," she said. However, she was quick to add that the US and European markets have outperformed as against emerging markets that continue to remain dull. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
