Bet on Axis Bank with just 0.3% NPA: Centrum Wealth Management

In a chat with ET Now, G Chokkalingam, Executive Director & Chief Investment Officer, Centrum Wealth Management, shares his views on banking stocks.

ET Now: What is the call on banking?

G Chokkalingam: We continue to remain buyer of private banks including Axis Bank and also small midcap banks in the private sector. Frankly speaking, if Axis cannot survive in this country, 3/4th banks cannot survive. Therefore, with net NPA close to just 0.3%, I would still bet on Axis. I would also bank on the fact that now Enam Securities is part of Axis. Otherwise, it would be very difficult for investors to buy Enam Securities. So let us not forget the fact that the merger is happening. So one can buy bank and also one can have exposure to the most efficient investment bank by buying Axis Bank. So I would continue to remain buyer of the most efficient private sector banks like Axis, Yes Bank and also couple of midcap banks.