Investment Strategy: As we move into a rising interest rate scenario, the focus shifts to high-quality low-volatility investments. Our strategy has been to construct a layered portfolio by locking into high-quality investments at different yields. At this juncture, short-term AAA investments make the most sense. Contact us if you would…
Investment Strategy: The RBI’s stance of calibrated tightening indicates that rate hikes are possible but not mandatory. As investors, it is important to capitalize on rising yields to structure a layered portfolio. The spread between the repo rate and the 10 Year Government Security is nearly 1.5%. This presents a…
Rising oil and dollar mean only one thing for the Indian economy – trouble in the near-term. Business fortunes and purchasing power are closely intertwined with oil and the dollar. Inflation could rear its ugly head if both oil and dollar become difficult to manage for the government. Stock markets…
The rupee now stands at 72 against the US Dollar. This is an unprecedented low. So far, neither the RBI nor the Government has aggressively stepped in. Is there an investment opportunity for you? When the rupee weakens, the markets react. The yield on the 10 Year Government…
In good years, defensive investors have to be content with the KNOWLEDGE that their gains, although perhaps less than maximal, were achieved with risk protection in place, even though it turned out to be not needed. – Howard Marks Every investor scrutinizes the relationship between risk and…
The purpose of monetary policy is to manage inflation, facilitate growth, and regulate credit in the economy. The RBI’s Monetary Policy Committee (MPC) has a clear mandate to target inflation and maintain it around 4%. In terms of bond markets, 2017 and 2018 are like chalk and cheese. 2017 witnessed…
