Finance is the backbone of a nation’s economy. For a country to flourish, businesses have to bloom, and for this to happen, it is imperative to study the market. For investors, it’s necessary to tread with care and this is when financial predictions come in the picture.
Year 2016 hasn’t been a smooth ride for the finance sector, owing to a few unavoidable international and domestic circumstances. But the fog has started to settle down and prospects are looking bright, according to Amit Rathi, the Managing Director of Anand Rathi Brokerage.
Established in 1994, Anand Rathi is one of India’s leading financial services firms that provide a wide range of financial services, such as investment, private wealth management, corporate advisory, investment banking, institutional equities and financing.
The firm has a pan-Indian presence and also has a setup in Dubai. The group is present across 1,200 locations and has over 2,500 professionals working on various fields.
Eminent global private equity Citigroup Venture Capital International and Venture Capital Company holds a sizeable stake in Anand Rathi. The group is member of the Bombay Stock Exchange, National Stock Exchange, Multi-Commodity Exchange, National Commodity Exchange, United Stock Exchange, Central Depository Services Limited, National Securities Depository Limited and ARN holder.
On PSU bank reforms, Amit Rathi says it is an essential step for improving capital raising, bank holding structure and gradual reduction of government’s stake. Rathi, who is well-known for his financial predictions, is often quoted by leading business dailies of India.
The MD of Anand Rathi Brokerage says, “When you are looking at valuations, it is important to look at earnings growth in financial metrics. For the odd 100 companies, that we have here, if you look at sort of average earnings growth we are seeing in the range of 20%, which is very different from what we are seeing in the large cap companies.”
Last month, Amit Rathi predicted that gold is unlikely to glitter in the current year. In a write-up published in The Economic Times, Rathi has stated that gold ended with negative returns in 2015 for the third year in a row, and it is unlikely that the trend will change in 2016.
The five factors that will impact the price of gold are: strengthening dollar, falling demand for gold, government initiatives to impact gold demand, savings move to financial instruments and economies in deflationary zone globally.
Amit Rathi’s expertise in the field makes him a name to reckon with. There are very few finance experts whose predictions hold so much water. He is on the top of the game for a reason.