Manghat has maintained cash levels between 2% and 5%, and focused on restructuring portfolios without making large directional shifts.
Among sectors, he sees private banks offering better risk-reward after corrections, while public banks may face pressure on margins in the near term.
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He also sees opportunities in small caps. “This will be selective… you have to pick and choose,” he said. The approach should be based on identifying companies with stable earnings potential over the next few years, with patience required to generate returns.
Precision engineering and manufacturing sector is another sector that is likely to see growth, supported by demand from data centres, defence, and nuclear sectors. Companies in this space could benefit as investments increase over time.
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