When it comes to the stock markets, just like cricket, Bollywood, or even politics, everyone has an opinion. But the market opinions that matter the most belong to the people who actually manage the money. The Moneycontrol Market Sentiment survey aims to gauge the mood of the market and get a sense of its future direction by polling some of the money managers.
With the economy still in a recovery mode, experts are optimistic about its double-digit growth in the current fiscal. Markets are on a roll as the BSE Sensex rose to 58,247.09 and the Nifty50 hit a fresh record high of 17,438.55 before closing at 17,380 on September 14, 2021.
Nineteen fund managers managing Rs 3.84 lakh crore of assets participated in the fourth edition of the survey.
About 74 percent of the fund managers surveyed believe that equities will generate the best return over the next year with Nifty expected to reach 18,000 during the same period. Internet companies and ‘Make in India’ will be the two big investment themes over the next 12 months, the survey revealed.
While the majority of the experts think that it is the financial sector that has the potential to take the markets further up, the US Federal Reserve raising interest rates earlier than expected is seen as the biggest risk to the present market rally.
Slightly over half of the respondents expect the quantitative easing to end soonest by end-FY22, and nearly a third expect it to end by the middle of FY22, indicating risk to the market is equally stacked from possible easing ahead of end-FY22.
Meanwhile, for the long-term investors, the biggest worry is the long absence of meaningful Capex thwarting growth, followed by the overvaluation of equities and rising interest rates.
Here’s what the survey findings revealed: