Prefer ICICI, Axis, Dena Bank in private banking space: Mayuresh Joshi, Angel Broking

In a chat with ET Now, Mayuresh Joshi, Fund Manager, Angel Broking, shares his view on banking space, cyclicality.

ET Now: The cyclical side of the market we saw it was active, yesterday. We are seeing it active today, do you kind of centre focused on that pocket and do you look at opportunities there and if so which are the names high on the list of conviction-wise?

Mayuresh Joshi: So, clearly, the cyclicality will continue into the markets but again our thesis still remains very much on the same parameters. Private sector banks is something that we continue to like. Our own take is that a lot of these banks have shown resilience, in terms, of asset quality and when we are talking about credit growth, generally, it is picking up. If RBI moves on interest rates with the kind of capital adequacy that these guys have, their branch network, the return ratios can be quite stupendous. For example, Axis Bank we have assumed credit cost to be high for the better part of this year and again the counter cyclical provisions that Dena, Yes Bank both are doing. ICICI Bank with a 25 per cent growth in its retail advances and asset quality stabilising become our toppicks from the private banking space at this point of time.