Old Bridge’s Kenneth Andrade prefers metals, pharma, and autos

Kenneth Andrade, Founder & CIO at Old Bridge Asset Management, which manages funds worth over ₹7,800 crore, expects cost pressures due to rising energy prices to start reflecting in earnings soon.“Someone’s got to take that hit somewhere,” he said, pointing to margin pressure across sectors. “We don’t think it’s a very broad-based market,” he added.

He expects manufacturing-linked sectors to be better placed, especially those with global competitiveness. Areas such as metals, pharmaceuticals and automobiles remain key allocations, supported by exports and scale advantages.
For the full interview, watch the accompanying video

Also Read | HSBC MF CIO avoids aggressive bets, sees value in banks, selective small capsAndrade also indicated no exposure to IT, citing ongoing weakness, while financial exposure is focused on select non-banking financial companies (NBFCs) benefiting from recapitalisation trends.

Also Read | Manishi Raychaudhuri bets on private banks, metals, consumption plays

On commodities, he said the cycle is not early, but profitability could improve as both volumes and prices support earnings. He added that metals are now more of a balance sheet repair story driven by cash flows.

Catch all the latest updates from the stock market here