Frothy valuations to take hit as liquidity withdraws: InCred Asset Mgt head

In a Q&A, Mrinal Singh, CEO & CIO of the firm, says Indian markets are better placed than other EMs and there are enough bottom-up opportunities

Monetary tightening by the US Federal Reserve will have an impact on equity valuations, particularly pockets where they are lofty, says Mrinal Singh, CEO & CIO InCred Asset Management. In an interview with Sundar Sethuraman, Singh says Indian markets are better placed than other emerging markets and there are enough bottom-up opportunities. Edited excerpts:

How will Fed's policy tightening play out in the markets?

We have entered 2022, bracing for the US Federal Reserve's tightening regime. With US inflation already at a 40-year high and rising crude prices, the Fed may move to hike rates sooner than expected. Let us