Expect Nifty50 earnings growth of 28% for FY22: Kalpen Parekh

This is a good time to rebalance asset allocation, Parekh said

At the current levels, the markets are banking on fiscal 2022-23 (FY23) earnings numbers to a large extent, feels KALPEN PAREKH, president, DSP Investment Managers. This is a good time for investors to rebalance asset allocation, he tells Puneet Wadhwa in an interview. Edited excerpts:

Do you see risks to the downside for the markets intensifying in the months ahead?

Interest rates – globally and in India – have reversed a bit since their all-time lows. To get back to high growth phase, we expect the government to spend more. That requires very large deficits and borrowing via bonds. If