Large-Caps: From Weakness To Strength

Large-caps have fallen like small-caps do in the current bout of market correction. Yogesh Supekar discuss how the large-caps have fared in the current market slump while the DSIJ Research Team shares a list of quality large-cap stocks

Investors are faced with a market situation like any student may face when he or she is asked an ‘out of the syllabus’ question in the examination. As the current crisis is more biological and medical than financial, any traditional solution may not apply in this unique situation. One thing is for sure: every crisis is different and hence the solution for the crisis must be different too. The best part of any major crisis is that it has an end! The only question is how much damage has the crisis made to the economy and how will the crisis change the way the world operates once we recover. It does look like the current crisis will surely transform the manner in which people and countries look at their healthcare systems and also at their dependency on a single country for supplies.

Opportunities

The current precarious condition of several governments may shift the spotlight on the global pharmaceutical sector. The sector may be viewed with a totally fresh perspective once we attain normalcy in the economy. There is good chance that the healthcare sector in India will attract fresh investments post the crisis or even during the crisis. Healthcare infrastructure in each country is now being studied, observed and discussed in detail. In fact, it has become a prestige issue for certain countries. Going forward the sector will be viewed lucratively.