Key Points
Rajeev Thakker, CIO, PPFAS MF, says at a time when US bond yields are around 4 to 5% and threatening to go higher and for longer, I do not think one should be really looking at hitting sixes right now..
I think it is time to be more conservative in terms of the future outlook..
But when you look at the individual company valuations, some trading at 70, 80, 100 times earnings or some of the newer listings coming on prospects of future profitability and just focusing on growth, that environment has changed and one should be cautious on that front..
I think almost any person that you get on the show, almost anyone from my colleagues in the fund management and the industry would say that banks are looking attractive in terms of the valuations that they are trading at and in terms of the clean balance sheets that they are having..
To my mind, there are five banks in India, four in the private space and one in the public space, which have done well in terms of having a full range of product offering, having a good CASA share, having a well diversified product portfolio, well diversified branch network..
