Market Outlook for 2014


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View the presentation to find out what the new year is likely to hold for investors like you and get our Research expert’s views on how to invest in 2014.

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  • A New year 2014 and lot more to look for in everybody’ life and even in your investment life, with Kotak Securities learn how market performed in 2013 and what else to look out for in this new year.Kotak Securities is one the largest share broking firm in India offering various investment services, to know more about us visit
  • Market Outlook for 2014

    1. 1. Market Outlook for 2014
    2. 2. Flashback 2013 • 2013 hasn’t been an easy year for the finance sector. • Slowing growth also kept market sentiment subdued. • Within this, defensive sectors did well. However, the cyclical and investment-oriented sectors suffered due to lower growth and rising interest rates.
    3. 3. Major Issues • While it is now known that the Fed taper will see the light of the day, panic stations haven’t started ringing as the Indian Rupee’s vulnerability and susceptibility to the same has reduced by a great extent. • On the other hand, India’s growth and inflation continue to raise alarm bells. On the political front, there seems to be a lot of uncertainty especially when 2014 will see General Elections that promise to have a few surprises in store.
    4. 4. A Portfolio For The New Year • In times like these, short-term goals aren’t the strongest of bets. We need to look toward the long-term future and secure these goals. • A balanced portfolio approach is advisable as compared to a concentrated one. One should have a balance of defensive as well as cyclical sectors’ stock in a portfolio. • This is because stocks in the defensive sectors will have better revenue visibility and those in the cyclical sector are available at low valuations. Even within these, the focus should be on select stocks.
    5. 5. Sectors To Look Out For • One can look at IT and FMCG stocks in the defensive sector. The IT sector is expected to see improved demand as developed economies like US and Europe recover and stabilise. Consumption demand is still growing, though at a slower pace.
    6. 6. Sectors To Look Out For • We also like select stocks in Media and Private Sector banks. The media sector is expected to see a boom on account of mass digitization and a flurry of activity due to the upcoming election. Private sector banks have better asset quality in addition to relatively higher margins. • In the aforementioned sectors, valuations have generally been higher. Contrary to some perception, good quality stocks, including mid-caps are available at reasonable valuations.
    7. 7. Our Outlook • We advise caution with regards to cyclical and investment-oriented sectors. While some reform initiatives have been announced by the Government, companies have not indicated any major change in the ground realities. • We believe that effective implementation of the initiatives will result in better prospects for these sectors. Also, more initiatives need to be taken to revive investment interest.
    8. 8. Our Outlook • It’s best if the companies you’re putting your hard-earned money in have credible managements and strong balance sheets. Companies who have net cash in balance sheets would be the best bet as an economy which grows as a relatively slow pace won’t have an adverse effect on the same. They will, in fact, benefit in case interest rates go up further. • As of now, the main concerns with regards to the immediate future like on the pace of Fed tapering and the outcome of the general elections. While an accelerated taper will impact liquidity flows into India, the absence of a clear mandate for any particular political party will be negative from the reforms perspective. This can have a bearing on the growth rates for the next fiscal.
    9. 9. We Wish You A Happy New Year
    10. 10. Read More Website FacebookTwitter Thank You
    11. 11. Disclaimer: Kotak Securities Limited, Registered Address: 27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (E) Mumbai 400 051. Correspondence Address: 6th Floor, Kotak Infinity, Building No. 21, Infinity Park, Off Western Express Highway, General AK Vaidya Marg, Malad (East), Mumbai 400097. Tel no: 66056825. SEBI Registration Numbers: NSE INB/INF/INE 230808130, BSE INB 010808153 / INF 011133230, OTC INB 200808136, MCX-SX INE 260808130/ INB 260808135/INF 260808135 , NSDL IN-DP- NSDL-23-97, CDSL IN-DP-CDSL-158-2001, AMFI ARN 0164. Compliance Officer - Mr. Sandeep Chordia. Tel. No: 022 6605 6825. Email id: In case you require any clarification or have any concern, kindly write to us at below email ids: • For Trading Account related queries: • For Demat Account related queries: • Alternatively, you may feel free to contact our customer service desk at our toll free numbers 18002099191 or 1800222299. You may also call at 30305757 by using your city STD code as a prefix. • In case you wish to escalate your concern / query, please write to us at and if you feel you are still unheard, write to our customer service HOD at