These sectors are going to perform well in the next 12 months: Shankar Sharma
Shankar Sharma is bullish on sectors such as real estate, ceramics, liquor and garments due to change in people behaviour.
Portfolio outperformers of Shankar Sharma
In his recent interview with ET, Shankar Sharma has given his views on sectors that are playing out well. “Building materials was another big theme that we thought would again be in line with real estate which was bombed out for a very long period. Some of the money made in the stock market seeps into the real hard asset economy, which is real estate. In our schemes, DLF and the others have done phenomenally well. If the real estate does well, one may have a stock like Kajaria Ceramics. They have done very well for us as well,” says Sharma.
1. DLF - The stock has surged from Rs 238 to Rs 424 in 2021, which in 10 months registered a 78% return.
2. Kajaria Ceramics - The stock has surged from Rs 478 to Rs 1,174 in 2021, which in 10 months registered a 145% return.
"When people make money, they start drinking quite a bit. So we bought the liquor stock that has done very well for us as well. So, yes we have been unconventional in the last four-five months, buying multiplex, real estate and a few liquor stocks. We have also been buying a few underwear stocks. When people stay at home, they do not buy that much underwear right but when they start going out, one can assume that they are going to be wearing more underwear than in the last 12 months," added the experienced investor Shankar Sharma.
Sharma further adds that "We have been a little unconventional in our strategy and that has done very well for us. Rupa and Dollar have been decent stocks for us. Those are the parabolic return areas of the market."
1. Rupa - The stock has surged from Rs 310 to Rs 447 in 2021, which in 10 months registered a 44% return.
2. Dollar Industries - The stock has surged from Rs 243 to Rs 465 in 2021, which in 10 months registered a 91% return.
In 1989, Shankar Sharma quit Citibank in his mid-twenties and founded First Global with a seed capital of Rs 5,000. His wife Devina spearheaded the company's global foray from 1999-2000 onwards making First Global the first Asian (ex-Japan) member of the London Stock Exchange and the NASDAQ.
After a long stint in the stock markets, First Global vice-chairman Shankar Sharma is moving on to the second innings of his life. This time it is to build a consumer brand in the coffee company, Caffè di Artisan. Shankar's wife Devina will continue to run First Global, which has evolved into an investment management firm.
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