Investors should wait and watch how aviation numbers are panning out: Anil Rego

Anil Rego, Founder & CEO, Right Horizons, in a chat with ET Now, gives his views on aviation pack.

What is your view on the aviation pack?

Definitely from a standpoint of the macro factors of the industry, after a long long negative news flow, things are turning positive and it will definitely benefit them in terms of lower ATF price. So, there will be a direct cost benefit there.

However, lot of them are in huge negatives, that is something to worry about. The second issue is the Kingfisher stuff on the borrowings and how they are able to rollover some of the loans, what restructure they do, will it come in early enough. So there are lot of concerns around the industry.

An investor who has probably a higher risk appetite can look at positions in this but maybe for a long term, investors leave it out of their pack. At a time when suddenly all risk oriented stocks are doing well, you may just find that some of these just pull back very sharply. So this may be good for operators. Investors should just wait out and watch how the numbers are panning out and then take a decision to enter into the sector.