High-quality stocks at their cheapest in 20 years, says Saurabh Mukherjea

There is a huge valuation disparity between American and Indian small and midcap stocks despite similar fundamental growth prospects, he says

There is a huge valuation disparity between American and Indian small and midcap stocks despite similar fundamental growth prospects, says Saurabh Mukherjea, founder and chief investment officer of Marcellus Investment Managers. In an interview with Sundar Sethuraman in Mumbai, Mukherjea highlights that this is the most opportune time to invest in high-quality largecaps in India. Edited excerpts:

Within domestic equities, where do you see value?
 

The current market landscape is characterised by two distinct fault lines: quality versus non-quality and smallcaps versus largecaps. Low-quality stocks are as overpriced as they were in the year leading