Key Points
Otherwise, I see a lot of these specialised technology services companies providing ER&D, services and some of the other software defined vehicle space, are really the kind of opportunities which are headed for strong double-digit growth for the next three to five years...
But I still believe that a lot of the mid to small-sized companies, a lot of bottom-up opportunities, will continue to outperform over the next one or two years or maybe even three years and clearly, as long as, of course, you are buying good quality, you are buying companies which meet governance standards and meet some of the liquidity norms as well,..
But when I look at technology services, when I look at online digital companies, when I look at some of the capex oriented companies, companies selling equipment, consumables and components to the manufacturing and infrastructure sector, selectively some of the export plays, clearly energy is emerging to be a very big theme, clearly believe that energy is a strategic priority for the government and for the economy and for the nation...
Some of them have created very strong moats, some of them continue to be net cash positive which means they have lots of room to invest further and you really do not see too much of fresh competition emerging given that there is some kind of a funding winter in the venture capital and the private equity space wherein their set of investors are asking them a lot of relevant and difficult questions which we in the public markets keep asking the companies and the management...
Within that, the share of online has been growing rapidly and despite the 30-40% growth rate which the online space has been registering, still its share in the overall insurance pie still continues to be in low-single digits and still continues to be a lot less versus what it is in markets like the United States and China..
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