After a decade, cash may become king again amid market volatility

As Indian equities enter the bear market zone, experts urge investors not to make lump sum investments as stocks haven't bottomed-out yet

With a single day loss of over 8 per cent on the BSE Sensex and over 20 per cent meltdown in equities since their January peak of 42,273, it’s official that Indian equities entered bear market on Thursday. The day’s market wipeout also takes away gains the Sensex earned over the past two years.

“Volatility will remain very high and in the near-term, investors may opt to increase their cash levels,” says Jinesh Gopani, head-equities, Axis Mutual Fund.

While domestic fund managers are expected to take a call on increasing cash allocation from the average 5-6 per cent in coming