News APP

NewsApp (Free)

Read news as it happens
Download NewsApp
Home  » Business » What should retail investors do now?

What should retail investors do now?

By Moneycontrol.com
May 16, 2006 18:50 IST
Get Rediff News in your Inbox:

Experts advise retail investors to get into the falling market, keeping in mind strong fundamentals and time horizon of more than a year.

According to Deven Choksey of KR Choksey Securities, retail investors should invest in the falling market if the fundamentals are strong and keep a one-year plus horizon.

Sanjay Dutt of Quantum Securities believes that investors must have clarity on what they are holding in their portfolios.

He says, "One important thing investors need to do is go back to their portfolio and be clear on what they are holding. It is going to be little painful now since only good stocks will go up."

"Relatively defensive sectors will make money now. The ones, which are little cheap and have lesser valuations will benefit. That is where one needs to look now, a safe haven strategy. But try and get little more defensive on the portfolio. I think momentum is breaking at this point and one needs to be very careful of what one is holding."

He adds that for very short-term trading calls one could buy into these panic falls and sell with marginal profits. "One can make use of such opportunities right now, but for portfolio rebalancing calls I would like to wait for a while and ride out this trading session today and then take a call on what to do," says Dutt.

Sumit Rohra, Antique Stock Broking, advices retail investors to stay invested, stick to quality and buy stocks which you would understand.

ALSO SEE:

For more on markets & business, log on to www.moneycontrol.com.

Get Rediff News in your Inbox:
Moneycontrol.com
 

Moneywiz Live!