Market’s at an all-time high, but thunder is missing? Here’s why explains Dipan Mehta

economictimes.indiatimes.com:

Dipan Mehta, Director, Elixir Equities, says “it is fantastic that the thunder is missing in the market because if the market goes up quietly, then one can certainly say that the froth is not there and the risks are lower. But we are seeing a lot of liquidity coming in. The thunder is missing because a lot of money is coming through institutional managers, especially mutual funds or through portfolio managers. So, the percentage of professionals managing the money compared to just raw retail coming to the market is significantly higher in this bull market than ever before.”
I specifically want to talk to you about Union Bank, if you track that one, because I think it is the second QIP that the bank is doing within a matter of 8-10 months.
Dipan Mehta: Union Bank is following a very sensible strategy while the going is good and there is much interest in banking stocks and the performance also has improved. They are using this opportunity to shore up their capital and eventually that will translate into higher growth rate because higher capital adequacy will enable them to drive their credit book as well and they will be able to utilise the entire brand and the distribution network to perhaps lend more.

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So, from that point of view, it is positive and valuation-wise also,