Pashupati Advani is sitting on cash, fears retail investors may start shunning market
Pashupati Advani, Founder, Global Foray, says there is no real trigger to take the market to a new level. FIIs are selling, SIPs are still there which is good, but the actual retailer who has been providing the liquidity and enjoying the market is not being able to make money and will leave the markets and that is not a good sign.
Advani says he is still very defensive and looking at cement, a little bit of pharma and a couple of PSUs. He is being very conservative and still sitting on some cash, waiting for opportunities.
What are you buying right now? What is keeping you busy?
Pashupati Advani: Trying to stay out of trouble. I bought Reliance last week. I am crying.
But what is your view in general? Do you think markets have corrected enough and now we have that froth and where everybody, in a sense, was just trading and making money and BTST which is buy today, sell tomorrow, had become buy in the morning and sell in the afternoon; is that trend over?
Pashupati Advani: No, I will tell you what is happening. If the market is going to float in a range, then retail is not going to make money and then it is going to gradually walk away. It is going to be losing money, in fact because, as we have seen in the options, if you buy options, they are extremely expensive. So, they eat your money away. I feel that while markets go up and down, 100, 200 points in a day and you are still in the same range, it is going to make the retail investor go away and that is not good.
But again, I do not see any real trigger to take
