“Markets could be choppy for a while. There could even be some downside from here, but in the medium term, I remain positive,” Mehra said in an interview with CNBC-TV18.
For those with fresh capital to deploy, Mehra recommends spreading investments over time rather than investing all at once. A phased approach over three to four months can help manage short-term risks while still participating in market gains.
She also stressed that equity allocation requires patience, with a time horizon of at least eight to ten years. According to Mehra, equity is unpredictable even over five years, so it’s essential to only invest what you won’t need in the short term.
Also Read: Higher US tariffs may stay, but inflation fears overdone: Milken economistOne of the key positives she highlighted is the recent decline in inflation and crude prices, especially food inflation. These trends are not just good news for the broader economy but also the corporate sector, as they help both consumption and profit margins.
Another critical point Mehra emphasised was the importance of global diversification. She stated that most investors in India remain overly focused on the domestic market and miss opportunities abroad. She recommends having 30–40% of overall investments in global markets. However, she cautioned that “global does not mean the seven stocks you know the names of in the US,” underlining the need for truly diversified international exposure.
Also Read: HDFC Bank CFO says slippages stable, and provisions strengthened for resilience
Despite uncertainty in the market, Mehra advised against panic. She pointed out that the best market days often come when investors feel most unsure. “Those good days come only when there are these questions in the market… Should I stop my SIP? That’s when the good days come,” she said.
For the entire interview, watch the accompanying video
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