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My advice to Indians who are living in US, UK, or Canada is that “Come invest in India”, Ankit Yadav, Director of Market Maestroo Pvt. Ltd – said in an interview with Zeebiz’s Kshitij Anand. Edited excerpts: 

Q) How has wealth management changed post COVID-19 outbreak? What are the trends that are developing?

A) As a wealth manager, I see the transition at a rapid pace in the last 1-2 years since COVID, which has not been witnessed in the past 5-10 years.

Investors are more aggressive towards their goals and objectives. Past COVID, the market gave investors the memo that it will recover sharply.

Not only about recovery, but the market rose and gave better returns than other investment products. The developing trend now a day’s is that more investors are approaching towards equity segments like MF, Direct Stocks, etc.

Before that, they are more towards small savings schemes like PPF, etc for their goals. I see that these changes will not only will help them to complete their objective but also it will help India for economic growth.

Q) How is the Wealth Management industry likely to shape up in the next few years?

A) I am very bullish in long run. I think Sensex may touch close to 2,50,000 to 3,00,000 in the next 10-15 years. The Nifty50 may touch close to (80k to 90k). So it’s a great time to invest.

Yes, we are going to face a few hurdles in the coming time, but it will provide us with a great opportunity to enter the game for victory in the long run.

Investors can approach the market with goal-based investing, and for compounding. Investors can utilize every dip & see every correction as an opportunity.

At the same time, they must be cautious and don’t overexpose themselves in the equity space. Right now, the Indian stock market industry is sitting at a market cap of US $3.4 trillion according to Wikipedia.

I as a Wealth manager see its growth to be around $8-14 trillion in the next 10-15 years & India may emerge as the fastest growing & developing market amongst others.

So, don’t bet against India. Yes, it is not going to be a cakewalk, but I never bet against India.

Q) What would you advise to Indians who are living in US, UK or Canada — if they want to invest here in India? What are the possible options available for them?

A) My advice to Indians who are living in US, UK, or Canada is that “Come invest in India”. As a Wealth Manager, I can sense India has immense potential not only to beat Global Market. But to beat Global Market by far.

All Indians who are residing in the US, or Canada please “Invest in India” in the next 10 to 15 years as we are going to become global leaders. Today, we have a third largest investor base after USA & Japan

To access the Indian stock market, one can open an account with an international brokerage firm either regulated by (SEC) or open an account with a broker of your choice regulated by (SEBI). 

Q) It has been crazy SAMVAT 2077 – your big lessons for investors?

A) My biggest lesson especially in times of tough situations is that you have to remain invested and for that you require an ‘Emergency Fund’.

If you have cash in your pockets, then you are ready to deal with any turbulence.

I can suggest to investor with all my experience is to keep yourself Balance for any situation & take decisions accordingly rather than Emotion of “Greed & Fear”.

Q) ETFs have also become a popular way of parking money. How do you see this as an investment product for India investors? It is popular in US and other countries? 

A) Yes, ETF is gaining momentum, and investors are rushing towards it. ETF is one of the best investing approaches and I see the trend rising.

It is tough to beat the index that is growing at a rate of 40%-60%. In these times, ETF comes into play, where investors don’t want to beat the market, they just want to copy the market with the least risk possible.

In India, it is growing nicely, and it is one of the best investment tools to complete goals sometimes. Particularly from the Equity market, one can get a return equivalent to an Index like Nifty, Sensex with limited risk.

I see ETF in the coming year will emerge more in India. The inflows are going to increase there is no doubt about that. In the USA, it is very popular as 7 out of 10 investors of the Equity market use index funds or ETFs.

Even the legendary investor Warren Buffett said it’s the best tool for novice investors. In a developed & efficient market ETF is quite common & popular. It’s nice to see that India is going on the same path.

Q) Retail investors have become active when it comes to supporting the market or in IPOs. How do you see this change? Although we have only seen a rising tide, what if the tide reverses?

A) Yes, at the current time I see most Investors are chasing returns. Currently, the market is chasing return. Currently, the market is rising & rewarding momentum investors. In investing, momentum investing is easiest among others as compared to growth, value, or goal-based investing.

In low rates scenario, every dish looks like a cake. So, it’s a cakewalk for investors for now as every business showcase strong performance & earnings.

The number of IPO’s are also increasing. Listing gains of IPO’s attracted more & more investors. I am more concerned about the scenario where rates start increasingly.

What happens if the Investor doesn’t get desired return from the market? There are a lot of new investors added to the system. How they respond to that change only time will tell.

My honest instructions to all Investors are to be focused more on personal goals & objectives rather than chasing return.

Q) On the IPO front – many big tickets IPOs are lined up in SAMVAT 2078. How is the IPO activity likely to pan out by next Diwali? What are you advising your clients with respect to the flurry of IPOs hitting D-Street?

A) Yes, 2020-21 may go down in history as one of the best years for IPO’s. We have seen many new IPO’s getting launched.

The logic behind IPO’s is that in low-interest rates, and untightened monetary policies. borrowing is quite easy amid liquidity in the system.

From an investor point of view, it is great to invest in such businesses for listing gain & quick short-term gain. But they have to remain cautious when they approach the long term.

(Disclaimer: The views/suggestions/advice expressed here in this article are solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)



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