Unfazed by 6% Sensex fall! Prashant Jain says stocks to rebound, deliver big in 2020

NEW DELHI: Unfazed by the 6 per cent plunge in domestic stocks on Monday, Prashant Jain said Calendar 2020 will be a good year for domestic stocks. Jain is a market veteran and one of Dalal Street most successful investors.

On Monday, BSE Sensex nosedived 2,338 points to 35,200, while Nifty50 slipped 660 points to 10,328.

Jain, ED & CIO at HDFC Mutual Fund, says the market usually returns to sanity after such a big fall.


He expressed optimism about the market outlook given the lower interest rate environment and the sharp drop in crude oil prices.

Jain said stock market valuations have been reasonable for some time, but expensive stocks have kept getting costlier. “This crisis is a good time to invest in Indian market,” Jain said.

Jain is managing India’s largest equity-oriented fund HDFC Balanced Advantage Fund since February 1994. This scheme was earlier known as HDFC Prudence Fund.

Jain rarely makes TV appearances. But he has a huge fan following. Some investors pick mutual fund schemes, just because his name is attached to them.

In an interaction with ET NOW, Jain on Monday said the developments around YES Bank would have wider implications on the stock market. They, he said, may lead to serious dislocation in NBFCs in addition to a visible impact on smaller banks.

Jain, however, felt the adjusted gross revenue (AGR) issue -- which is hurting telecom operators – should get resolved in the foreseeable future.