Last Diwali was very auspicious for the market. Between Diwali and this Diwali, Nifty gave blazing returns of 45%. For the past several years, the beaten sector also started to shine. The enthusiasm of the market and investors is at full high. This time the boom has remained on the strength of domestic retail investors, not foreign. Retail investors are pouring money into the market.
Many investors are feeling that if the car has not been missed, can it still be invested in the market. Where can money be made in a bull market? Veteran investor Shankar Sharma, co-founder of First Global, discussed investing ahead of Diwali with CNBC-Awaaz.
Here are the highlights of the conversation with Shankar Sharma
Shankar Sharma said that after studying the long term data in the market, trade should be taken. Investing in the long term is good for the investor’s portfolio. Talking about the growth of the market, then if your market is showing a rise of 15 to 20 percent continuously for the last 2 years, then in the third year the chances of it going up are only 50 percent. On the other hand, if any market has been moving upwards for 3 consecutive years, then in the fourth year correction will be seen in that market.
Brokerages expect a rise in this banking and metal stock, give buying advice
US markets may remain weak in 2022
Sharma quoted the data as saying that the US markets remained strong in 2019. After that, in 2020 also, the US stock markets were bright. Now this year i.e. 2021 has also been very good for America so far, so there is a lot of possibility that in the next year i.e. 2022, the US markets may remain weak.
Indian market may remain good even in 2022
While sharing his analysis from the perspective of Indian markets, Shankar Sharma said that if we look at the Indian markets, the year 2018 was bad here. After that the year 2019 was also not very good. After this, the year 2020 was good, after which the Indian markets have returned in the next year 2021. This means that the Indian market has been strong for two consecutive years, so next year also i.e. in 2022 also, the probability of seeing an uptrend in the market is up to 50 percent.
130 crore population is the engine for Indian markets
Explaining the logic behind why the Indian market can remain good despite the global market being bad, he said that the population of India is close to 130 crores and this can prove to be good for the economy. But still one should avoid investing money blindly in the year 2022. Investors would be advised to take momentum trades rather than valuations.
Gainers & Losers: Today the market closed in green mark, these stocks were the biggest movement
Where are the investment opportunities
Shankar Sharma said that to earn return on investment, you have to take a long-term approach. At present, there is an opportunity to invest at lower levels in the quality companies whose stocks have fallen due to the correction in the market. Apart from this, one should also invest in consuming companies. Consumption companies have made good profits this year and the shares of these companies can be seen running in the future.
Include new age companies and banking stocks in the portfolio
Giving his opinion on investment, Sharma said that this year IPOs of new age companies have been launched in the market. Shares of these companies should also be kept in the portfolio. There may be further momentum in this. Apart from this, invest in banking stocks and bank stocks must be kept in your portfolio. Disclosing this, we have got ourselves and our clients to buy shares of SBI.
How has the market been so far in this year i.e. 2021?
What is the contribution of which index in the excellent returns in the market so far in 2021?
NIFTY 50 – 31%
SENSEX – 29%
NIFTY MIDCAP 100 – 51%
NIFTY SMALLCAP 100 – 57%
Most running sectors in the year 2021 so far
NIFTY METAL- 77%
NIFTY PSU BANKS – 64%
NIFTY PSE – 50%
NIFTY IT- 47%
NIFTY ENERGY – 44%
NIFTY MEDIA – 43%
NIFTY INFRA – 42%
NIFTY BANK – 30%
On the first day of the business week, today the banking stocks in the market, know how it can be tomorrow
Highest running Nifty shares in the year 2021 so far
TATA MOTORS – 167%
BAJAJ FINSERV – 110%
TATA STEEL – 99%
HINDALCO – 94%
GRASIM – 85%
SBI – 83%
WIPRO – 76%
ONGC – 69%
So far in the year 2021, the midcap has set color
JSW ENERGY – 455%
ADANI TRANS – 305%
HAPPIEST MINDS – 292%
ADANI TOTAL GAS – 275%
IEX – 237%
GUJARAT FLUORO – 225%
ADANI ENT – 222%
TATA ELXSI – 224%
Facebook us for social media updates (https://www.facebook.com/moneycontrolhindi/) and Twitter (.) to follow.
.