Don't get swayed by current optically high valuations: Mahesh Patil

Defensive sectors like information technology (IT) and consumer may lag, says CIO Patil

With the markets hoping for a gradual reopening of the economy after the second Covid wave, MAHESH PATIL, chief investment officer at Aditya Birla Sun Life AMC, tells Puneet Wadhwa in an interview that domestic cyclicals, industrials, financials, and pharma sectors are likely to lead the market recovery. Edited excerpts:

You expected an ‘extended period of a bull market’ earlier this year. Does that view still hold?

We are seeing some demand destruction due to the second Covid wave and India’s economic recovery can be delayed by six months. Hence, market returns can be muted in the near term. But, the Covid