Why Max Life is overweight on industrial and capital goods stocks? Mihir Vora explains

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Key Points

Mihir Vora, Chief Investment Officer & Senior Director, Max Life Insurance, says , financials, especially banks and NBFCs, are spaces that we are definitely positive on..

A few months ago we were positive on banks because the tightening cycle was still on, but now we are towards the end of the tightening cycle and even NBFCs which underperformed for a while because of the tightening are looking attractive..

But as far as the spending and the infra linked situation is concerned, manufacturing is still going very well, especially with government spending in the railway space, domestic defence manufacturing and highway, etc, capex is continuing from the government side and a little bit of green shoots are there on the private capex side..

The manufacturing theme, whether it is electronics or any other sector like textiles, chemicals, pharmaceuticals, lot of the spaces where the government has identified either sectors or products where we need to be self-reliant not only from the economic point of view, but from the security point of view..

Certainly, because we talked about the manufacturing theme and most of the stocks are exposed to defence, power, railways and of course domestic capital goods manufacturing for various things..

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