Visit the SAP Forum

Languages : English | Dutch | French | Portugese | Italian



INTERVIEW EBOOK
Get 30,000 Interview Questions & Answers in an eBook.

Interview Success Kit - Get Success in Job Interviews



Send your Resume to 6000 Companies
START YOUR WEBSITE
India's Best Web Hosting Company
Home » SAP News » See 20-40% returns from Indian equities in 6 months: Garner

See 20-40% returns from Indian equities in 6 months: Garner

A D V E R T I S E M E N T

S A P - R E S O U R C E S


Get Free SAP Resources:

Are you looking for:
  • SAP Jobs
  • Free SAP eBooks
  • SAP Softwares
  • SAP Tutorials
  • ERP Implementation Examples
Enter Email Address:
(Enter your email address above and we will instantly send you the download link to you, when you confirm your email.)
Search SAP Resources:

Jonathan Garner of Morgan Stanley believes that the emerging markets are discounting a recession scenario at the moment. In his opinion, allowing the European stability mechanism and direct recapitalization of banks are seen as positive developments. Garner expects 20-40% returns from the Indian equity market in the next six months.

Also Read: Morgan Stanley upgrades Indian stocks to 'equalweight'

Below is an edited transcript of his interview. Watch the accompanying video for more.

Q: What is your observation on the notes that have been coming out from the EU summit and the impact for emerging markets?

A: One of the key starting points is that the emerging markets are exceptionally cheap. In fact in our view, some form of recession is unlikely; obviously the European situation could generate an outcome like that. But the news that we have today does seem to be a significant incremental positive.

There are two separate pieces of news. Firstly, the Spanish bank bailout funds will be supplied on the basis to the existing Spanish sovereign debt i.e. the mistake that was made by the official authorities of putting themselves in to the senior position to existing debt holders in the prior bailout particularly of Greece, that will not be repeated.

Secondly, it does appear that they are heading towards the situation of allowing the European stability mechanism but it seems to be ratified to directly recapitalize banks that get into difficulty. So that is a movement towards banking union and it is an attempt to break the link between sovereigns and banks.

Q: What could be the potential of these two bits of news, do you think they can spark off a big risk on and do you see it as a temporary bit of good news or do you think this puts a backstop on risk for the next two-three months?

A: It does seem that it is a significant positive. But the markets are exceptionally cheap, as I said earlier, to history. For example, India, that we have upgraded today, is trading at the price to book multiples around about trough multiple from 2008 and 2002. So that is already discounting very significant bad news.

Q: Part of your observations on that upgrade suggest that India tends to outperform in the period post sharp oil price declines, given what has happened with the EU summit and a change in risk sentiment, would you say this could become a risk for a market like India that there is a sharp spike back on commodity prices especially crude?

A: No, oil markets are relatively well supplied at the moment. There are several other positive dimensions about the situation in India outperforming other emerging markets. Now that was not the case throughout the 15 months. But the currency has weakened up very significantly and we have a 52 rupee dollar target for the end of the year. Obviously, there is significant disappointment that is taking place around both growth and inflation in India.

Q: Are you expecting emerging markets to do well in the second half of the year, and in that context, India could outperform you feel in the second half of this year?

A: We have not put it on an overweight, we have put it on an equal weight. But we expect between 20% and 40% returns on these valuation levels six months out. My colleague Ridham Desai has a Sensex target of 20,000 so I think that is certainly very achievable, it is not fairly higher. 



More SAP News
 
1 2 3 4 5 6 7 8 9 10 11 >> Next


A D V E R T I S E M E N T

discussionDiscussion Center
Discuss
Discuss

Query

Feedback
Yahoo Groups
Y! Group
Sirfdosti Groups
Sirfdosti
Contact Us
Contact
Sign in

User Name:
Password:
Forget password? | Register


INTERVIEW EBOOK

Get 30,000 Interview Questions & Answers in an eBook.

Interview Success Kit - Get Success in Job Interviews


Send your Resume to 6000 Companies

SAP Resources

  • SAP Articles
  • SAP Books
  • SAP Certifications
  • SAP Companies
  • SAP Study Materials
  • SAP Events
  • SAP Faqs
  • SAP Jobs
  • SAP Job Consultants
  • SAP Links
  • SAP News
  • SAP Sample Papers
  • SAP Interview Questions
  • SAP Training Institutes
  •  
    SAP Tutorial

  • Introduction
  • SAP History
  • SAP Facts
  • SAP Tables
  • SAP Function
  • SAP Report
  • Reasons To Use SAP
  • SAP Landscape
  • SAP Transaction Code
  • SAP Lotus Notes Integration
  • Business Connector and XML
  • Enterprise Release 4.7

  • SAP Training Institutes

  • SAP Training Institutes
  • Job Consultants Address
  • SAP Companies Address

  • Business Process Cycle

  • Analyze
  • Design
  • Implement
  • Operate
  • Optimize
  • Skills And Education

  • Logistics Module

  • Sales and Distribution
  • Quality Management
  • Materail Management
  • Plant Maintenance
  • Financial Modules (FI/CO)
  • Project system
  • Production Planning
  • Service Management

  • SAP NetWeaver

  • Introduction
  • Object Model
  • Interoperability
  • Creating Web Apps
  • Java Connector
  • Advantages & Conclusion
  • Life Cycle Management
  • Composite Application Framework

  • SAP Tools

  • SQL Trace Tool
  • SAP CRM
  • SAP SRM
  • SAP SCM
  • SAP ERP
  • SAP BW

  • SAP Modules

  • SAP FI Module
  • SAP CO Module

  • SAP Technical

  • SAP ITS Architecture
  • Financial Management
  • Manufacturing Planning and Execution
  • Customer Order Management
  • Lackbox Processing
  • SD and Financial Accounting Integration
  • SAP - HR (Human Resource)

  • SAP Miscellanous

  • Web Application Server(WAS)
  • Data Archiving
  • Mobile Engine
  • SAP Script
  • SAP Transactions
  • SAP Business Warehouse(BW)

  • SAP Reference

  • SAP Facts
  • SAP Tables
  • SAP Function
  • SAP Report
  • SAP Landscape

  • SAP Others

  • SAP Treasury
  • SAP Finance
  • SAP WAS
  • SAP Data Archiving
  • SAP ALE
  • SAP EDI
  • SAP Exchange
  • SAP X-APPS
  • SAP Applications Components
  • SAP Software
  • Dunning
  • SAP IDES
  • SAP Payroll Basics
  • SAP BASIS and Security Authorization
  • SAP Backup
  • SAP Router

  • ABAP Tutorials

  • Introduction
  • ABAP Transaction
  • ABAP Function
  • ABAP File Processing
  • ABAP Objects
  • ABAP Syntax
  • ABAP Queries
  • SAPMail Using ABAP
  • ABAP Programming Hints

  • SAP Projects & Codes

  • Finding the user-exits
  • Purchase Order Display
  • Batch Input
  • Dynamic Open SQL
  • Creating Extract Dataset
  • Reading database tables
  • Load table from a UNIX file
  • Create subscreen

  • SAP Resources

  • SAP Books
  • SAP Links

  • Interview Question



  • Common Interview Que.
  • ABAP Interview Que.
  • ERP Interview Que.
  • HR Interview Que.
  • MM Interview Que.
  • PP Interview Que.
  • ALE Interview Que.
  • EDI Interview Que.
  • Basis Interview Questions
  • SAP-SD Interview Questions
  • FI&CO Interview Questions
  • BW Interview Questions
  • CRM Interview Questions
  • Interview Questions

  • Careers at SAP

  • Careers in SAP (SAP Jobs)
  • Advertise
  •