Budget 2022-23 has focused on reducing the carbon foot print in the country and reducing dependence on fossil fuels, which has led to the sunrise sector (sectors and companies that depend on green technology to reduce pollution or which Works for the development of green technology) Such companies include companies related to electric vehicles and renewable energy.
Nirmala Sitharaman in her budget speech yesterday said that the strategy of low carbon development embodied in “Panchamrut” is a reflection of our government’s strong commitment to sustainable development.
Shankar Sharma of First Global And Noted investor Safir Anand We believe that the budget has opened the doors of huge possibilities for the investors in the sunrise sector. He further said that this budget has not created vast possibilities for the development and dissemination of green technology.
Let us see in which sector these two veteran investors want to invest their money after the budget.
Shankar Sharma
Veteran investor Shankar Sharma says that he would like to focus on smallcap companies over largecap companies considering the potential for stronger returns going forward. He said that any company that is profitable from climate, transition should be looked at from an investment point of view. I am surprised to see the manner in which the judiciary is hardening its approach towards companies polluting the environment. In such a situation, I keep an eye on those companies which are helping to keep the environment clean. There is a huge potential in the companies associated with this sector. Shankar Sharma said these things to Moneycontrol in the first panel discussion of the budget. He also believes that investors should focus on good stocks based on electric vehicle themed at this time. There is a possibility of earning good money in future.
Safir Anand
Safir Anand is also seen standing in favor of those companies which are likely to benefit from the climate transition. Safir Anand said that he has invested in sugar companies. This is because the government is increasingly focusing on ethanol blending into the fuel used in transportation to reduce dependence on fossil fuels and reduce its carbon footprint. However, Safir Anand, unlike Shankar Sharma, seems to be giving more preference to largecap companies than smallcap companies.
ICICI Bank and State Bank of India Like largecap stocks are included in his favorite list. He said in his conversation with Moneycontrol that I have kept my money in stocks like ICICI Bank and State Bank of India. This is because they have cleaned their NPAs and their credit growth is showing strength. In this conversation, Safir Anand said that the budget has been better than my expectation. India will be seen performing better than other countries of the world in future.
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