While the financial year 2021 gave investors robust returns of 70%, should you pare your expectations from the markets in FY22? Top markets experts believe that FY22 will see the uptrend continuing and that equities will remain one of the best asset classes to invest in.
In an interview to Money9, Rusmik Oza, Head of Fundamental Research at Kotak Securities, gave his insights on outlook for markets in FY22.
He believes that while trade may be rangebound and see moderation in FPI flows in FY22, markets may still deliver double digit returns.
As a strategy for investors, he suggests existing investors to hold on as the kind of earnings that he expects in the next two years could be very stupendous providing further fillip to the investments.
“With the reports coming in of India’s GDP reaching 10% in FY22, one can hope to bet big on the sectors which contribute most to the economy along with some cyclicals added to the portfolio. Advise investors to keep 50% of their investment in equities parked in largecaps with 30% in midcaps and the remaining 20% in smallcaps”
On the strategy on exiting the profitable positions he mentioned that one must look to book partial profits when Nifty reaches around 16,000 levels.
Watch the video to know more on how to create a well diversified portfolio in FY22:
