'Expect positive reform measures for FDI policy'

G Chokkalingam, Head, Research and Strategy, Barclays Wealth India speaks to Puneet Wadhwa on the road ahead for the markets under the current circumstances of high volatility and Budget ahead.

Given the current volatility, what is your investment strategy? Which sectors are you bullish on?

We suggest continuing measured investments in Indian equities. We believe that across the board withdrawal of stimulus packages is most unlikely. Most of the macroeconomic parameters - barring rising inflation rate - are showing signs of significant improvement.

The government, too, is in a better position to implement a couple of bold economic reform measures as it has got a comfort of 'practical' majority after a gap of 10 years.

We have optimistic medium-to-long term views on banking and financial sector, realty, and also on crude oil producing companies. However, we would rather play on certain themes like agri and old private sector banks as playing on emerging themes always provide better market returns.

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