Multi Year Themes News Today

Mihir Vora expects optimistic GDP growth but warns of possible market stagnation. Global market volatility, uncertain events like the election and earning season, and the need for a broad-based recovery raise concerns. Right now, he is being more stock specific, rather than taking big macro calls. as it is one of the toughest environments for taking macro calls. Stock picking in domestic sectors and careful selection based on valuation is recommended.

Varun Lohchab discusses the positive outlook for the auto ancillary space and Indian battery companies. The auto component sector is expected to see increased investments and greater content due to premiumization and the Make in India initiative. Battery companies have attractive valuations and are transitioning towards renewables. Overall, there are opportunities across multiple sectors in the current macroeconomy.

“Our basic thesis has been that the entire manufacturing, industrials and infrastructure is not just a one-year theme, but it is a multi-year theme. Now, for instance, if you look at what has been happening over the last few years, growth in this space has been largely led by public capex and government spending.”