Should investors fear a rocky stock market?
Turbulent equity markets have spooked investors. While the benchmark indices have touched all-time high levels twice since January, Nifty50 is currently hovering around the levels last seen in July last year. BSE Sensex is down by a whopping 7,000 points between April and mid-July. All the equity mutual fund categories on an average, except a few sectors, have also fallen in the negative returns zone year-to-date. Trideep Bhattacharya, CIO-Equities, Edelweiss Mutual Fund, sees the equity markets to be fairly volatile for 3-4 months, predominantly driven by interest rate regime change, concerns on inflation and geopolitics. But he is positive on Indian equities from a 2-3 year perspective. Fortune India spoke to Trideep Bhattacharya on how to tame the highly volatile equity markets. Is it time to sit back or invest? Bhattacharya believes investors should not fear the negative headlines.
"When I look at the headlines, it consists of recession, high inflation and negative news flow on geopolitics. When a lot of bad news is there, equity share prices are usually depressed and that is the time investors should think about putting money to work," he responds.
As per Bhattacharya, this is the time to gradually and steadily get constructive on equities rather than running away. Bhattacharya shares favourable sectors in the current market and his investment mantra for retail investors as well.