Ajay Argal, Head of Indian Equities at Baring Asset Management (Asia) told CNBC-TV18, "The individual stocks we keep on changing. So we held HCL Technologies for most of last year and that was the best performing stock within the IT sector for the first half of the year and we continue to participate in that. After that we shifted more our weight towards Infosys, which we thought was discounting a lot of pessimistic projections and most of the bad news was there in the price and that is the reason we increased our position there. We also hold Tech Mahindra and in fact within the IT and that is the biggest overweight for us at the moment."
"If you look at the entire IT sector as a whole, again we are very positive on it but the thing is some of these companies have become so large that the growth rate will not be what it used to be in good times five-ten years ago when the US economy picks up. So because of the large size, the growth rate would come down and we think that the growth rate for the larger and better run companies will be between 13 and 16-17 percent but the opportunities are much better in some of the other sectors. That is why we are underweight in the IT sector," he added.
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