The outcome of general elections in May is seen as the biggest local event that will set a direction for markets. Until then, equity gauges are expected to react to progress on global developments such as Brexit and US-China trade talks. Foreign portfolio investors have pumped in a net of $767.77 million into Indian equities so far in February.undefined
In a key economic development, India's merchandise trade deficit widened to $14.73 billion in January after hitting a 10-month low of $13.08 billion in December, data released by Commerce Ministry showed. The deficit was $15.67 billion in January 2018. Merchandise exports grew 3.74 percent on year to $26.36 billion, mainly due to growth in textiles, drugs and pharmaceuticals as well as organic and inorganic chemicals.
Investors have turned cautious ahead of the forthcoming general election. Investor’s sentiments were dampened by the steep decline in shares of certain large-cap and mid-cap companies amidst mixed earnings performance in Q3FY19. All the sectoral indices lost value over the last seven sessions.
The equity markets have turned very volatile and even massive companies are not spared. The recent volatility in stock prices of Tata Motors, Dr Reddy’s, Sun Pharma, Yes Bank, Vedanta, Essel group companies, Anil Ambani group companies is a matter of concern as retail investors are getting trapped with every news flow.
Out of the several Industries in the India Economy, there are few industries that have probably always outperformed the market post election. Doesn’t matter what is the outcome of election, which government is coming into power, there are few sectors on which every government counts on as these are the sectors on which our economy lies.
While making this Neuron our aim was to pick up those sectors who has a potential to gain huge return during a time span of May-Dec every election year. Here, we are expecting an average return of 35% from the portfolio which we have prepared covering all those sectors which meet our specified criteria.
Once we have shortlisted the sectors, our further screening process was to pick up the stocks which are expected to perform well and provide expected return in a pre-defined interval. We have picked stocks which are trading below Industry average P/E, P/B ratio and higher Industry average dividend yield.
Data is updated on 7th per month. It gets verified every quarter by independent auditor.
Data presented here is taken from company's inception
Importance given to satisfactory resolution as per prescribed TAT