3 factors that support EV growth in India; watch out for stocks in auto and OEM space: Anurag Jhanwar

economictimes.indiatimes.com:

“The growth phase will open up multiple opportunities and hence one has to look at all the OEM and Auto space closely,” says Anurag Jhanwar, Cofounder and Partner, Upwisery Private Wealth. In an interview with ETMarkets, Jhanwar said: “It is equally important to note that it is still in its early stages of development and the growth story will have its share of bumps too” Edited excerpts:What is supporting the market's bull run? Overall macroeconomic factors provide comfort as we are seeing a fall in inflation, a pause in interest rate cycles, an increase in foreign investment in the equity markets led by issues being faced globally.

It all hints that the momentum is positive for the market; however, it is very difficult to say that we will see the growth coming in 2H2023 or probably in the next 12-18 months, it will come one way or after phases of consolidation it remains to be seen.Which sectors are likely to hog the limelight in 2H2023? General consensus is that interest rates increase is largely done for, and we might see softening in the same in the near term. The timing of the same will be dependent upon various variables; however, when it starts happening it will lead to a revival of consumption activity, and hence housing finance, Automobile, capital goods, and FMCG sectors should see good demand.

Also, the infrastructure sector will see a fillip on account of Government spending. How should one play the small & midcap theme in the second half of 2023? The small and midcap theme has delivered superior returns over the long term on a rolling return basis; hence, from a long-term perspective, it makes sense to allocate capital to this sector. In specific, it has been seen historically that reversal of high-interest