Kunj Bansal of Centrum Wealth Management told CNBC-TV18, "What happens is typically as an investment strategy when we have such sharp corrections, we should look to buy high beta stocks and vice versa. So if somebody is looking to invest in market when the markets have risen or are holding steady then one has to look at buying low beta defensives.""Because of the correction, yesterday's 10 percent fall in SKS Microfinance has arisen between its fundamentals and the valuation. At its high, the stock was almost close to Rs 600-590, it is 52-week high. From there now it is down about 25 percent to Rs 450-440 level yesterday. Return on asset for this company is closer to 5 percent," he said."We have public sector banks which are at 0.4-0.5 return on assets, we have private sector banks 1-1.5 closer to 2 in some cases, we have non-banking financial services (NBFCs) in the range of 3-4. Here is a company which is at 5 and a price to book of 5 has corrected to 3.5 and that is the reason to recommend a buy."
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