Key take aways from S. Naren, CIO, ICICI Prudential AMC.
25 takeaways.
(Don't miss points 13-18)
1. At 17k, valns more reasonable
2. Macro funds too short on everything
3. Tactically a good rally possible
4. Dont think we will see big returns from here though
5. Banks much more reasonably valued, but are well owned
6. Autos are attractive, implied assumptions are reasonable
7. Telecom ARPUs can grow over 2-3 years
8. I.T. svcs can see a re-rating over a longer term
9. Pharma has done badly,scope for returns over medium term
10. Will be interested if we get new age stocks very cheap in IPOs
11. PSU banks have corrected in last 3 mths, maybe there is scope for near term rallies
12. For banks to perform consistently, should not have 'credit events', that is the challenge for PSBs
13. Between 2008-2021 we had printing presses running non-stop in US & Europe
14. You have to take a call whether printing presses will re-open in US & Europe
15. If money printing does not resume, cannot look at valns of last 10 years as a reference point
16. When I tell investors, that 15% is not a given anymore, people think I'am a bear
17. I'am not a bear, but a believer in moderate equity returns, since we don't have money printing in US & Europe. If Fed restarts QE, I will change my view
18. Without QE, we will be in a moderate/low return world, not a high return world
19. Multi-asset is the way to go in terms of allocation
20. 'Value' has done very well, thinking about 'growth' now in terms of coming back into favor
21. Pvt equity & VCs have realised that they can't IPO new-age cos at absurb valuations
22. Many of the new age cos have already made corp governance mistakes
23. New age companies have a lot to learn from older listed companies
24. Anything which the govt does to help the rural sector/bottom rung of economic strata, will be viewed very positively by markets
25. This year (2023) is a year to invest to reap returns in 2025 & 2026.
Compiled from the tweets of Prashant Nair - CNBC
By: via Telegram.me/AlliesFin #StockMarket #india
