Whether there is a 10% correction or a 30% crash, market to bounce back in 8-10 months: Rajat Sharma

economictimes.indiatimes.com:

Rajat Sharma, Founder & CEO, Sana Securities, says the the biggest thing for him is that the overall valuations of the market, which had remained on a trailing basis between 20 and 23 over the last three-four years are right now despite the run up at around 21.9 on the Nifty, a little expensive, but not overly so. Even if markets were to fall or correct or as some people are saying crash – here 10% is a correction and a 30% fall would be a crash, in either case, India is a bright spot and whether it is a correction or a crash, it would not last very long. So, if we fall that much, eight to ten months from that dip, we will bounce back.
What do you think is the market mood ahead of the elections and what are you doing with your portfolio right now?
Rajat Sharma: Markets have run up a lot, but the kind of earnings that we saw for the full financial year has justified the way markets have run up. Even if you look at the macros, everything looks very good. The government's fiscal deficit is likely to reduce given the kind of dividend RBI has paid the government, so expect big announcements from the budget.

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Inflation is stable, tax collections are at a high and the biggest thing for me is that the overall valuations of the market, which had remained on a trailing basis between 20 to 23