Some businesses that have done well in past, may witness a â€˜structural break‘, such that the future is rendered disconnected with the successful past.
Veteran India investor Andrew Holland, CEO of Ambit Investment Advisors, is sure something will give in the global markets, just that he is not sure when.
Speaking to CNBC-TV18, Andrew Holland, CEO of Ambit Investment Advisors said that it is a liquidity market right now.
Volatility is likely to stay as the new week gets ready for Britain's referendum vote on Thursday that will decide whether the country will remain a part of European Union.
While two wheelers, select private banks and non-banking financial companies (NBFCs) have growth stories embedded in them, public sector unit (PSU) banks are still about uncertainty, says Andrew Holland, CEO of Ambit Investment Advisors.
Earnings have started to bottom out only now, while banks are still reeling under NPA pressure, pushing away the multiplier effect for markets, says Andrew Holland, CEO, Ambit Investment Advisors.
Andrew Holland, CEO at, Ambit Investment Advisors is of the view that one may prefer IT, two wheelers and consumer goods stocks.
In an interview to CNBC-TV18, Andrew Holland, CEO of Ambit Investment Advisors says short-covering has come in across global markets but two things are worrying. One is the European Central Bank (ECB) slashing its inflation target and US Federal Reserve going from hawkish to almost super dovish.
Andrew Holland, CEO of Ambit Investment Advisors, says markets will keep an eye on how the European economy will pick up, going ahead. "We are underestimating the cost of migrants in Europe. We will continue to be a little bit more cautious about Europe for now."
Andrew Holland, CEO of Ambit Investment Advisors, says the quality of stocks that are rallying is quite uninspiring and there could be a swift trading move to 7600.
Andrew Holland, CEO, Ambit Investment Advisors, is of the view that Axis Bank and ICICI Bank will see upmove as and when the Indian economy picks up.
Andrew Holland, CEO at Ambit Investment Advisors likes private banking stocks and in that HDFC Bank will continue to stand out.
As far as the Indian market is concerned, it is likely to get excited going into the Budget, says Andrew Holland of Ambit Investment Advisors. He also expects the dollar to weaken in the short-term, which will in turn be beneficial to emerging markets like India
Andrew Holland of Ambit Investment Advisors is bullish on the banking sector, especially private sector banks, as he believes there is still room for the Reserve Bank governor Raghuram Rajan to go in for more rate cuts. However, he is not too keen on the NBFC space and prefers banks over it
Andrew Holland of Ambit expects Maruti's margins to expand going forward and is also bullish on select auto ancillary stocks.
As far as India is concerned, Andrew Holland of Ambit Investment Advisors maintains that Nifty will be at 10,000 by December-end.
Ambit Alpha Fund (AAF), an alternate investment fund (AIF), on Wednesday said it has crossed the milestone of Rs 500 crore of assets under management in July, just two years after inception.
Andrew Holland, CEO of Ambit Investment Advisors, says the market is taking the meltdown in China too lightly.
On the Parliament session, Andrew Holland, CEO of Ambit Investment Advisors feels it will probably be a washout. However, he is hopeful that GST may get a bit of a further push in the monsoon session of the Parliament.
Globally, Andrew Holland, CEO of Ambit Investment Advisors believes China is more worrisome than Greece. He is also worried about the US Federal Reserve rate hike situation.
Andrew Holland, CEO at Ambit Investment Advisors is of the view that one may short Tata Motors.
The current situation in China requires more reforms, more easing. This has the potential to lead to another leg of depreciation in currencies in the world, leading to a further fall in commodity prices and ultimately deflation, says Andrew Holland, CEO of Ambit Investment Advisors.
Holland expected volatility in the days ahead as emerging markets in general were vulnerable to a rate hike by the US federal reserve over the next six months
According to Andrew Holland, CEO of Ambit Investment Advisors, 8000 can be a great entry point on the downside. He is betting on banking and industrial stocks, but asks investors to avoid consumer durables due to high valuations and IT stocks.
According to Andrew Holland of Ambit Investment Advisors, one may avoid IT space.