War, falling markets, and a two-year window: Why Vikas Khemani is buying banks, aviation, and pharma right now
Why it matters: A seasoned investor is betting big on a market rebound, offering a contrarian view amid current uncertainty.
- Vikas Khemani views current market conditions, influenced by the West Asia conflict, as a "great shopping opportunity" for long-term investors.
- He believes the banking sector is poised for the biggest recovery once geopolitical stability returns, dismissing concerns about shrinking profit pools and PSU bank competition.
- Carnelian is selectively investing in aviation, expecting a tailwind from underlying demand growth and potential falling crude prices.
- The firm maintains significant positions in pharma and CDMOs, seeing them as long-term growth stories, particularly in biosimilars.
- Khemani advises caution with smaller NBFCs, preferring large, AAA-rated names like Aditya Birla Capital due to their lower risk profile.
Vikas Khemani of Carnelian sees current market volatility as a prime buying opportunity, drawing parallels to the 2022 Russia-Ukraine war recovery. He's strategically investing in banks, aviation, and pharma, anticipating significant returns within a two-to-three-year window as geopolitical fears subside.
