Great Indian Bull Market
Indian equities are in the midst of a multi year bull market and there is plenty of evidence to suggest that this rally is likely to continue…
- India is now the world’s fastest growing economy, and this growth will only accelerate as infrastructure improves
- As the country’s GDP grows, so does corporate sector profits. Growth in corporate profits and equity returns are positively co-related.
- There has been a colossal surge of funds from institutional investors – both domestic and foreign - in recent year
- It’s no wonder that international fund managers view India as a new “Asset class”
- Globalisation has been acting as a catalyst for growth with Indian companies raising funds overseas and acquiring foreign companies thereby achieving exponential inorganic growth
… the list of reasons is ever expanding.
The Indian stock market offers investors a variety of industries and companies to invest in. The diversity of stocks in the Indian market is second only to the US equity market.
To participate in this bull run, you need to adopt a prudent investment strategy, identify the correct stocks and their entry and exit prices. Financial discipline and striking the right balance between capital protection and risk taking ability is the key to wealth creation.
However, the briskly changing global and domestic economic and political environment and the lack of time and expertise to evaluate investment options at your end creates the need for professional assistance.
Professional guidance will enable you to:
Access dedicated professionals with focus on capital markets who will then explore superior investment ideas to help meet your financial objectives.
Keep your capital intact and assist you in generating positive and absolute returns on your investments.
Identify a select group of companies (from the thousands available) which have high growth potential, with solid foundation and limited downside risk.
Avoid investing in penny stocks or underperforming sectors which can result in significant wealth erosion.
Make investing a pleasurable and financially rewarding experience.
When it comes to taking an exposure to the equity cult you can use any of the following avenues:
Mutual Funds (MF) –
A mutual fund is managed by a team of professionals. Its key advantage is that it offers a pooling of resources of many large and small investors to mobilise a corpus that is big enough to offer exposure to diverse investments. Depending on your risk appetite and the sector that you wish to invest in, you can choose schemes which invest in a plethora of stocks across industries or niche investment themes within the economy. Their returns are generally better than a government paper, bonds or fixed deposits.
Direct equity investments –
This channel allows you the freedom to build your corpus at a pace and style formatted as per your own discretion and based on your personal expertise. The services of a broker are engaged to execute your transactions, with little value addition.
Portfolio Management Schemes (PMS) –
A PMS entails handing over your financial portfolio to professionals who will manage it on your behalf and constantly update you on its progress. A customised investment portfolio is created and monitored regularly, taking into account your individual risk appetite, cash flow requirements, investment preferences, investment objectives and more.