This is a time to focus on midcaps: Ashwani Gujral
This is a time to focus on midcaps and market will keep just trudging along slowly because there is not that much upside on the large cap indices as there is on midcap stocks.
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| Updated: Ashwani Gujral, Fund Manager, Ashwanigujral.com, talks to ET Now on various stocks.
It has been very stock specific this week do you think that in the coming few weeks as well the trend sectorally may not be as clear as by way of playing stocks really that is where one can look at benefiting the most?
Yes, I have mentioned it few times before I will do that again that this is a right time to buy a midcap ETF. The ETF that I track is that Goldman Sachs Nifty junior that was at 85 at the beginning of the week that has closed at 92. So this is a great time to build a large position in that ETF and finally you will see that even when markets are choppy midcaps will continue to do well because when rates come down midcaps outperform in that given year.
That is a strategy that everybody should apply. Now as I have said that the market is choppy, midcaps are doing better so you will find that five days you are choppy, sixth day you will have a 120 point move. Now you need to be positioned for that which means you need to be long on the indices meanwhile have a midcap style portfolio which by 5200 would be easily up 25%-30%.
May be even from current levels because stocks are breaking out everyday regardless of the sector because they were beaten up more or less regardless of the sector. So this is a time to focus on midcaps and market will keep just trudging along slowly because there is not that much upside on the large cap indices as there is on midcap stocks.
It has been very stock specific this week do you think that in the coming few weeks as well the trend sectorally may not be as clear as by way of playing stocks really that is where one can look at benefiting the most?
Yes, I have mentioned it few times before I will do that again that this is a right time to buy a midcap ETF. The ETF that I track is that Goldman Sachs Nifty junior that was at 85 at the beginning of the week that has closed at 92. So this is a great time to build a large position in that ETF and finally you will see that even when markets are choppy midcaps will continue to do well because when rates come down midcaps outperform in that given year.
That is a strategy that everybody should apply. Now as I have said that the market is choppy, midcaps are doing better so you will find that five days you are choppy, sixth day you will have a 120 point move. Now you need to be positioned for that which means you need to be long on the indices meanwhile have a midcap style portfolio which by 5200 would be easily up 25%-30%.
May be even from current levels because stocks are breaking out everyday regardless of the sector because they were beaten up more or less regardless of the sector. So this is a time to focus on midcaps and market will keep just trudging along slowly because there is not that much upside on the large cap indices as there is on midcap stocks.
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