India’s GDP growth rate, according to estimates, could be less than 5 per cent this year. Many agencies, including the International Monetary Fund (IMF), have lowered their growth estimates. Auto sales are down. Job growth is sluggish. The long-awaited turnaround in corporate profit growth hasn’t materialised yet. Micro, small and medium enterprises (MSMEs) are in deep trouble. Indian banks have not overcome their non-performing asset-related issues, and now non-banking financial companies are also in trouble. Despite all these problems, the Nifty 50 index is trading close to its all-time high valuation. How does one make sense of such an environment and invest confidently?
Learn to live with uncertainty: Uncertainty about the future is an intrinsic feature of equity investing. We can be confident, but we can never be entirely sure about what the future holds. When uncertainty about the future is high, it impacts stock