Karma Capital News Today

Rushabh Sheth, Co-CIO, Karma Capital, says: "The stock market outlook remains uncertain as the business landscape undergoes rapid changes. Factors such as consolidation, technology advancements, as well as the impact of the US elections on India add to the complexity. Identifying future investment opportunities is a challenge in this evolving market.

“We will have to wait and see how the agriculture and rural economy plays out over the next 6 to 12 months. But even apart from that, I think the domestic two-wheeler demand has been reasonably good and I think that is not going to really change too much in the next 12 months.”

"Our philosophy of GARP remains the same across our strategies, whether it is Karma wealth builder- our flagship flexicap strategy, Karma Capital Lotus - our mid and smallcap strategy, or Karma Capital Magnolia - our large cap focused strategy. Our approach of identifying investment ideas through bottom-up, fundamental and first-hand research remains at the core."

Sheth’s big bet on pharma is solid growth in the domestic market leading to market share expansion for key players, and that on media is about consumers increasingly becoming open to pay for quality content. He sees ports as critical for driving manufacturing efficiency.

To some investors, small and microcap shares seem overvalued, compared to their growth potential.

Electrum Portfolio Managers midcap and smallcap portfolio, Electrum Laureate, gave the highest monthly returns of nearly 12% in August. In just 6 months, it has given a staggering 43% returns.

“My sense is that in the next three years, we are not going to see what we are seeing in the past 10, 15, 20 years because the risk free rate of return was itself much higher. That is what I would say to any investor who is looking to invest in equity.”

“From our perspective and that is what our portfolios reflect, pharma, telecom, media and bottom up ideas across the auto components, even in infrastructure companies like airports, ports, are where we see good opportunities for at least next one to three years. These companies are very well poised and are also available at a reasonable price”

The long-term risk for equity markets is the outcome of various state and national elections and the uncertainty associated with them, as they can have wide-ranging impact on policy decisions, says Darshan Engineer, Portfolio Manager, Karma Capital Advisors

Karma Capital, a leading portfolio management firm has entered into an agreement with Growthfiniti Wealth for the distribution of its listed Indian equities-based investment solutions. Karma Capital’s entire suite of investment offerings under PMS and AIF will now be available to Growthfiniti’s clientele.