Why Anand Rathi Suggests Investing More In Current Market Conditions
Rathi advised investors to analyse growth opportunities of the companies involved in international trade.
Anand Rathi Group Founder and Chairman Anand Rathi suggested traders invest in the current market situation without fear. Attributing it to his analysis of the last 25 years, Rathi said the trend is whenever markets fall, they recover in a year with a 20–25% gain.
"Our advice is to invest more money at this time. You don't have to be afraid of volatility."Anand Rathi, Founder & Chairman, Anand Rathi Group
Markets have witnessed severe volatility since US President Donald Trump unveiled his aggressive tariff policies. Tensions heightened when he raised the tariff rates on China following the latter's retaliation. NSE Nifty 50 and BSE Sensex ended at a 10-month low on Monday.
In Friday's session, India's benchmark large-cap stock gauges were trading with over 2% gains around the time the US announced a pause on tariffs. As of 12:41 p.m., the Nifty 50 and Sensex were trading 2.18% and 2.01%, higher, respectively.
On Wednesday, Trump provided a 90-day pause on additional tariffs, while the basic 10% on all exports to the US continues. However, he raised the tariff on China, which takes the total tariff on the country to 145% because the latter refused to take back its retaliatory steps. The tension between the world's two largest economies prompted investors to pull out their money from US assets: treasuries and dollars.
Rathi advised investors to analyse growth opportunities of the companies involved in international trade. As of now, the country-wise final tariff rates are not clear. In case India ends up with a lower tariff compared to other countries, it will be positive for the country's exports.
Anand Rathi, Founder & Chairman, Anand Rathi Group at NDTV Profit's Talking Point show.
Views On Anand Rathi Wealth
Anand Rathi Wealth has increased assets under management by 30% when market growth was around 4–5% in the last 20 years. Rathi deemed it excellent, given the difficult situation. AUM growth will be sustainable going forward, he said.
In the next 20 years, Anand Rathi Wealth will likely touch the Rs 1 lakh crore AUM.Anand Rathi, Founder & Chairman, Anand Rathi Group
Anand Rathi Q4 Highlights (YoY)
Total income up 22.5% at Rs 232 crore versus Rs 189 crore.
Net profit up 30.5% at Rs 72.4 crore versus Rs 55.5 crore.
Final dividend of Rs 7 per share declared.
In the last one year, Anand Rathi Wealth was able to increase its customers by 17–18%. The increase is expected to continue with 19–20% on the year rise in new customers as a large number of wealthy investors do not have wealth managers. Unlike earlier, Anand Rathi Wealth is not averse to investing in small and midcap stocks, he said.
Inflows to mutual funds have fluctuated, though flows into SIPs have stayed the same by and large. The fluctuations will stop in the current month itself, he said.
