While the current setting doesn’t indicate chances of a material correction, staggered investment may be considered for fresh investments to benefit from any near-term volatility, suggested Quantum.
Anuj Bajpai, Founder & CEO, Liquide, believes that with general elections around the corner, the interim Budget may feature measures with mass appeal, such as tax reductions or subsidies. However, any major announcements in the interim Budget seem unlikely, he added.
Deven Mehta of Choice Broking said investing 50 per cent in largecap stocks, 30 per cent in midcap stocks, and allocating the remaining 20 per cent in smallcap stocks can be a prudent approach.
Jefferies likes plays on power sector such as Coal India Ltd and JSW Energy; two-wheeler makers such as TVS Motor Ltd and Eicher Motors, telecom operator Bharti Airtel and capital goods firms namely Adani Ports and Kajaria Ceramics.
Factors driving growth in the Indian economy in 2024 include improving macroeconomic environment, better demand and GDP growth prospects, manageable inflation, and steady interest rates. Quarterly earnings, Budget 2024, and General Election 2024 are crucial factors to watch.