Lot of hesitancy and scepticism among retail investors: Centrum Broking ED

'If the market movement remains positive for an extended period, flows would become healthy once again', said Anil Sarin

Markets have bounced back sharply from their recent lows as foreign investors returned to Indian shores in July. ANIL SARIN, executive director and chief investment officer for equities at Centrum Broking, in conversation with Puneet Wadhwa, says current conditions are supportive of investing in mid- and small-caps. Edited excerpts:

Did the recent bounce-back in equity markets take you by surprise?

Not really. There has been a lively debate about ‘peak inflation’ and resultant ‘peak interest rates’ for a while. When the market did not react very negatively to the (US) 9.1 per cent inflation print in July, it was a