Five things to do in the current stock market scenario- My client was nervous. As the head of a leading consultancy firm he was aware of the state of affairs of the economy and specifically of his clients who were bleeding thanks to the impact of lockdown . He wanted to know my view on how to tackle the portfolio given the the stunning rally of stock markets across the globe . Like many a baffled investor he was sure that the markets were in bubble and unrealistic . While the rally has been sudden and unexpected there are justifications galore supporting it too. And as with every investor my client was afraid that there will be reversal to the mean. What should investors do when Nifty is reaching new highs daily? I will share my two cents on how to deal with the current situation. 1. Prepare yourself for volatility especially in equity – We aren’t exactly in a cheap market reeling from covid hit economy. Valuation ratios are on the top end of acceptable ranges and
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Showing posts from September, 2020