Investors And Corporate India Expect Stimulus From Government - Immediately!
A slowing economy needs a stimulus from the government. The stimulus also needs to be fast and urgent. Globally, the trade war forebodings are impacting the investors’ confidence. Also, the race to reach the bottom (interest rates) by the central banks in the western world signals serious concerns on economic growth front. There are fears that the interest rates may become negative again in the European world, at least. The expected incremental deterioration in the economic health is what is impacting the global equity markets. These are the fears impacting the global equity markets and leading to the withdrawal of money from the emerging markets, including India, by the FPIs.
In difficult times, investors are always looking for places to protect their monies. Many investors undermine the importance of hedging their portfolio in tough market conditions. For the long term investors, the logic is to hold on to the quality stocks even during market corrections. Hedging the equity portfolio on a consistent basis and methodically can help investors save a lot of money and allow the portfolio to preserve its gains. The cover story in this issue talks about various strategies that investors can adopt under different market corrections to protect the portfolio returns. Do read the cover story carefully, understand the concept correctly and apply the strategies discussed skilfully to protect your portfolio during market corrections. Do let us know if you saved any money adopting the strategies discussed in the cover story.
Gold is on tear and the bullishness may continue in the asset in the foreseeable future. In our special story on gold, we have analysed the demand situation for the asset globally and have forecasted that gold prices are likely to inch up from the current levels. But caution is advised even for the most bullish investors in gold. Have a look at our special story and come back to us with your comments and observations on gold prices.
The current issue is a special one which includes ‘Straight from the Gut’ comments from the leading CFOs of Corporate India. CFOs are the most trusted captains in Corporate India. They are the ones who multi-task and deliver on growth-oriented strategy without ignoring the regulatory aspects and the risks involved. This special issue on CFOs in India has also declared ‘DSIJ CFO Awards’ for the best performing CFOs under various categories. We are thrilled to share the list of awardees with our readers. Do join us in congratulating the leading CFOs in India and I hope the CFOs’ comments prove to be insightful to you all.
It is always difficult to fight the bearishness in the short term, however, in the longer run, things do fall in place and look much more positive. The terror on the street can be contagious and lead to myopic view on markets. Investors have to transcend such tendencies and focus on the long term prospects of the markets.
Gold, safe dividend yield (high) stocks and consumer staples are some of the areas where investors can focus right now for relatively steady returns.
Stay focused and remain hungry as we promise to bring to you some exciting investment ideas in the coming months as market valuation becomes attractive. The best part of any market correction is that it brings the valuation down and, suddenly, the fallen stocks become compelling investment propositions.
Happy Investing