Deepak Shenoy, founder of capitalmind.in told CNBC-TV18, "Given the dollar rise we are talking about export sector and we are looking at the ones that seem to have the maximum margin impact and while they are low margin sectors; companies in textile, apparel, garment sector are sounding interesting to us because the broad production numbers have come in at a fairly large level even though you have seen the IIP generally weak, garments and apparels; we saw one of them go up 62 percent in terms of year on year numbers in February in the IIP."
"However, some of the garments companies are smallcaps or midcaps. At the largecap level you have companies like Arvind but we have smaller holdings in companies like KPR Mill, Ambika Cotton Mills – these are the companies we believe will succeed and make money. Pharmaceutical remains another player that is interesting," he said.
"IT would be third on our list because we believe that the dollar number themselves aren’t going to go up, so much. So the offset of 5 percent is not so great for an IT companies versus pharma or textiles."
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