ETMarkets Sensible Discuss: Keep native, keep resilient: Aditya Khemka recommends healthcare, consumption performs
In an interview with Kshitij Anand of ETMarkets, Bhattacharya stated: “Within the present atmosphere of tariffs and a worldwide financial slowdown, we choose sectors like healthcare supply and home consumption,” Edited excerpts:
Q) Thanks for taking the day trip. Nicely, we began off April or the brand new monetary 12 months on a unstable word with tariff uncertainty. What’s your tackle markets for FY26?
A) We imagine that the fairness markets will see a restoration publish the crash pushed by Trump’s tariff battle. We imagine the Indian financial system is nicely positioned internally to develop regardless of geopolitical uncertainties.
Q) What’s your tackle US Tariff launched by the Donald Trump authorities. How will it influence financial system and Indian markets?
A) The tariffs launched by the Trump administration are more likely to set off a level of international commerce uncertainty. For India, we anticipate some influence on exporters, primarily because of two components:
a) Foreign money volatility that will come up as a consequence of escalating commerce tensions, andb) Strain on export volumes and realizations because of shifts in competitiveness vis-à-vis different geographies.Whereas the direct influence on India could also be restricted in comparison with international locations extra deeply built-in with US commerce flows, the broader ripple impact on international sentiment and provide chains may weigh on each the financial system and markets.
Q) The chatter of a worldwide slowdown turns into louder with new tariff measures in place from the US. How would that influence India and international financial progress?
A) A worldwide slowdown would influence each financial system together with India as nobody is insulated on this market.
Q) Do you assume earnings of India Inc. would possibly take successful with tariff measures which might in flip lead to earnings downgrades?
A) Sure, exporters are notably susceptible to earnings downgrades because of tariff measures. Sectors that may very well be impacted embrace IT providers, auto part producers, and firms within the defence and electrical gear area.
These industries rely closely on abroad markets, and any tariff-related headwinds may instantly have an effect on their prime line and margins.
Q) Which sectors ought to one search for to deploy recent cash amid tariffs and international financial slowdown?
A) Within the present atmosphere of tariffs and a worldwide financial slowdown, we choose sectors like healthcare supply and home consumption.
These are largely India-focused, comparatively insulated from international headwinds, and fewer delicate to forex fluctuations, making them extra resilient funding themes at this stage.
Q) How are HNIs and big-ticket traders allocation cash? Are they diversifying globally or shopping for treasures to guard the portfolio?
A) Tough to make a generic assertion on this. Nevertheless, the savvier traders wish to deploy based mostly on particular person bottom-up inventory selecting.
Q) How ought to one play small & midcaps in FY26?
A) One ought to go obese in small, and midcaps publish the latest fall. It has change into clearer that the dominance of the bigger corporations in India is getting challenged owing to innovation by smaller corporations and that could be a mega development right here to remain.
(Disclaimer: Suggestions, solutions, views, and opinions given by consultants are their very own. These don’t symbolize the views of the Financial Occasions)
