The Indian market has been jittery on fears of COVID lockdowns. However, it will be a good buying opportunity if it corrects, said Krishna Kumar Karwa, managing director (MD) of Emkay Global, on Monday.

“The fear of any further infection, lockdown etc, and if because of that the market’s sentiment weakens and stocks corrects then it will be a very good opportunity for investors to invest in,” he told CNBC-TV18.

Karwa said there is a need to be selective even though midcap and smallcap stocks will do well.

“There is a lot more scope for smallcap and midcap stocks to deliver returns and looking at it on a 3-year basis, since January ’18, still there is a lot of gap in between the returns that the mid and smallcap sectors have delivered versus the largecaps. However, having said that investors need to be very careful when they are investing in mid and smallcap segment because in the quest for higher returns the quality of the portfolio can significantly deteriorate,” he added.

He believes that the IT sector has immense tailwinds hereon and earnings growth for tech companies can be in the range of 15-20 percent.

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(Edited by : Ajay Vaishnav)