Don't hurry to invest on current market scenario: Jigar Shah, Kimeng Securities

In an interview with ET Now, Jigar Shah, Kimeng Securities, talks about the markets and the Sesa-Sterlite merger. Excerpts:

ET Now: Fourth trade day wherein we have corrected. Would you buy into the weakness or stay away?

Jigar Shah: Given that we have many events ahead of us, it could be setting a direction for the markets and also for the economy. I would wait and not jump into it because market has corrected but there can be more bargains on the table. There can be a wider choice of sectors as well as companies available. So, I would not really hurry into this.

ET Now: How would you position yourself strategically in terms of stocks specific ideas in this market where in the near term we are looking at correction?

Jigar Shah: One can only take shelter under some of the defensive stocks and some of the software companies as well as pharmaceutical and FMCG companies. So, this is where one could take shelter and partly stay in cash. That would be the best way to approach the coming market situation.

ET Now: Sesa Goa down 10% today and Sterlite which was optically a positive beneficiary of the restructuring has corrected. What are your views?

Jigar Shah: We feel that the overall restructuring for the group is positive and it will be earnings accretive. For the near term our call for retail investors is to go long on Sterlite Industries and short on Sesa. That is our call from the entire exercise.