Ace investor Rakesh Jhunjhunwala continues to remain positive on India despite being 'frustrated'. Jhunjhunwala feels that the slow progress on land and labour reforms has not helped in improving ease of doing business in the country. Known to be an eternal bull on the Indian markets, Jhunjhunwala expects that the coronavirus crisis-hit bourses may revive and see investment-inflow owing to fall in interest rates going ahead. "I am very bullish on the market and remain fully invested," Jhunjhunwala told CNBC-TV18. "From being a "sure bull", I have become a hopeful bull," he said.
Large numbers of coronavirus cases and lack of reforms are the two risks for the stock markets that may postpone recovery, he says. The markets are not expected to see any substantial recovery before November-December when some clarity of defaults coming out of the moratorium period gets clear, he adds. Jhunjhunwala remains bullish on both pharma and metals sectors. He also believes that consumption would soon make a comeback, helping the FMCG sector in the long term.
Big Bull says that the coronavirus crisis has been blown out of proportion and people will learn to live with it. Defending the government's move to introduce lockdown, Jhunjhunwala said that the impact of lockdown would not be as bad as some are expecting. "This year, I am only concerned about which companies will survive. As long as they survive, I have no problem with them," he said.
The Indian stock market has so far plunged nearly 20 per cent from all-time high on account of the ongoing coronavirus crisis.
Rakesh Jhunjhunwala is an Indian billionaire, investor, trader, and chartered accountant. He manages his own portfolio as a partner in his asset management firm, Rare Enterprises.