Q: What is your interpretation of how the recent geopolitical situation has unfolded and the way markets have reacted to it? Ans:
>Markets do not like war, which happened at a time when they were on an upswing
>Worried central banks may not hike rates aggressively
>Markets can rebound as a result later this year – may be the last rally
Q: How much downside do you see from the current levels?
>Panic situations like these usually mean that the bottom is near
>Markets should bottom out in the next few days, followed by a rally
Q: How do the investors navigate this uncertain phase for the markets?
>Invest in asset classes that you know; stay in your comfort zone
>I own sliver and agriculture, and look to buy more of it
Q: So, which commodities are you looking to buy more of – gold, silver, oil, metals? And:
Invested in silver and gold; will buy more on a correction
Will buy more of agriculture commodities than anything
Demand for lithium, copper and lead to go up due to electric cars
Q: Do you think then the global central banks will not hike aggressively as envisaged earlier?
US Fed’s rate stance has led to inflation
More inflation is going to lead to higher interest rates
Central banks will lose control, will lead the markets into a ‘bear phase’
How do the emerging markets look in this backdrop?
Emerging markets aligned to commodities will benefit
Own Russian shares and will buy more once this geopolitical crisis eases
Q: What are your views on the Indian markets? And:
Indian equities have been strong; don’t like buying any market that strong
Will buy Indian stocks on a correction
RBI has supplied enough money and Indian equity markets can continue to be strong
Do not own any Indian stocks right now
Q: Which other asset classes and equity markets do you find expensive? Ans:
Bonds in bubble territory and so is property/ real estate in New Zealand, India and South Korea
Some stocks are also in bubble zone
Silver, agri-commodities are some asset classes not in a bubble zone
Commodities are the best place to be right now
Q: What’s your advice to investors to equity market investors right now? Ans:
Geopolitical crisis are an opportunity to buy
Commodities are likely to do well
Buy what you know best
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