Budget 2024: Housing Scheme Announcement 'No Surprise', Says Dam Capital's Dharmesh Mehta
The large caps in India are fairly valued, Mehta says.
The Union government's commitment in the interim Union budget 2024 to promote widespread homeownership comes as "no surprise", according to Dharmesh Mehta, chief executive officer of DAM Capital Advisors Ltd.
He emphasised the continuous efforts by the government to ensure that every Indian has the opportunity to own a house.
The central government will launch a scheme for deserving sections of the middle class living in rented houses or slums, Finance Minister Nirmala Sitharaman said in her budget speech on Thursday.
Dharmesh Mehta (Source: DAM Capital Advisors website)
Outlook On Indian Markets
The country is already a recognised global player, and there's no need to actively promote it, he said. The current geopolitical dynamics, particularly with China, have positioned India as a highly sought after destination, according to Mehta.
He said valuations play a crucial role when examining large caps in India. "If you look at the large caps in India, they are fairly valued. They are not in a crazy valuation zone."
As large foreign institutional investors consider entering the Indian market, their focus leans more towards large caps than the mid caps, which seem to be enjoying continued interest particularly from retail investors, he said. "The mid caps party will continue with the retail investors."
Mehta is bullish on the PSU banking sector, underscoring that whether private or public banks, the key factor is the valuations at the time of purchase.
Banking is the sector that holds promising opportunities, he said. "Banking is the place one should be."
