In an election year, markets typically flourish, says Arbind Maheswari

Historically, the markets tend to perform well during election years as governments aim to increase spending and call attention to growth, he said

About 36 nations, representing 63 per cent of global gross domestic product (GDP), are heading for elections this year. Historically, the markets tend to perform well during election years as governments aim to increase spending and call attention to growth, says ARBIND MAHESWARI, head of India Equities at BofA Securities. In an email interview with Sundar Sethuraman, Maheswari mentions that any potential change in the incumbent government during the upcoming general elections is a key risk. Edited excerpts:

What will be the impact of the challenging global growth outlook? Which sectors could face headwinds?
 

The US economy has proven to