We
believe that we are just about in the growth stage with the
Indian market stabilizing; we think that the market will become
enticing for more players to enter.Sundaram
Mutual believes that the stock markets are for the long-term
investor. Our job is wealth accretion in the long-term. We
believe in investing and not in speculating. In the long-term,
equities have been and will continue to be the best investment
tool.
Natural
commodities like tea and sugar, cyclical commodities like
ferrous metals, petrochemicals and chemicals have done well.
Going forward, we believe that commodity prices will soften,
so the users will gain significantly. We are positive about
FMCGs, auto-ancillaries and plastic processors.
IPO
investments are based on a case-to-case basis depending on
the valuation of the company. Selective investments into IPOs
can generate above market returns to the investor.
In
the current scenario, it is advisable to invest in funds with
short-term maturity or to invest in money-market funds, where
the risk is considerably lower as compared to generic income
funds.
As
per SEBI guidelines, derivatives can be used only as a pure
hedging mechanism rather than a speculative tool. Thus, the
role in the current context is limited for funds.
The
industry has grown considerably in providing better service
to the customer. With lot of published material in the media,
the investor can now take an informed decision about the funds
he chooses or rejects. The industry has in turn responded
with some unique products to provide above average returns
to the investor.
World
over Exchange-Traded Funds form a minuscule part of the Mutual
Fund industry. Similarly, we see the role for ETFs to be marginal
in the Indian context as well. There
have been a couple of instances of M&A activity in our
industry considering that the industry is just 14 years old.
We believe that we are just about in the growth stage with
the Indian market stabilizing; we think that the market will
become enticing for more players to enter.
Investing
style, stock selection and asset allocation are all fund specific
and are highly process-driven in our fund house. We have a
full-fledged research team that analyzes every sector and
various organizations in ensuring the best returns out of
our investments.
All
our funds have performed better than the market. We have been
consistently providing returns that are better than the market
for our investors. |
