Pharma stocks seem to be losing sheen. What makes you bullish on the sector?
We remain optimistic on companies with strong export potential. We see these companies increasing their return on capital quite rapidly.
Financial-services tops your list. What is your outlook on the sector?
The financial-services sector, largely represented by banks, is still attractively priced. As asset-book quality increases and operational performance continues to improve, we see valuations of the sector improving.
Your have an exposure of 7.43 per cent in the FMCG sector. What is the fund's outlook for the sector?
Our outlook for the FMCG sector remains one of cautious optimism. While the monsoons should have a beneficial impact, pricing power in the sector continues to be under pressure.
In such a situation, companies will find it difficult to show growth, and valuations may stay under pressure.
