'˜Why shouldn't one buy PSU stocks during a market boom?'

I enjoyed the story on stocks for the bear phase (What to Buy in a Downturn, 5 March). Aren’t these stocks worth buying in all market scenarios? For instance, why shouldn’t one buy PSU stocks during a market boom? If there is a reason to stay away from them when the markets are doing well, it should have been mentioned in the story.
- Arvind Mahajan, Ajmer

All sectors do not perform uniformly in all market conditions. For instance, FMCG companies were neglected in the past bull run as investors concentrated on high-growth firms. Now, they are back in the limelight as they offer consistent growth and have a relatively inelastic demand for their goods and services. This doesn’t mean that these stocks are bad buys in a bull phase. It’s just that the market rewards conservative companies in downturns and aggressive ones when the economy enters the growth phase.

I don’t think your section on technology is too useful for readers. Most of the gadgets mentioned in the stories are manufactured by foreign companies and are rarely available in the market. Even if they are, the cost of these gadgets is beyond the budget of the common man.
- Sandeep Kumar, Amritsar

We always ensure that the products mentioned in our stories are available in India. If they are not, the articles specify this clearly. Also, we feature gadgets in all price ranges, not just the expensive ones.

My salary has been cut recently and it has strained my budget as I pay a high home loan EMI. Your story on refinancing loans (Reboot your Home Loan, 5 March) was very helpful as it provided me with an option to reduce my heavy EMI.
- Nikhil Swarup, Delhi

We are glad that you found the story useful. As mentioned in the story, do not forget to factor in the penalties imposed by your bank if you are switching over to another one for a cheaper loan.

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