“There are stocks which have corrected significantly higher and that is where the opportunity lies in this market,” said Tushar Pradhan, Chief Investment Officer at HSBC Global Asset Management (India), in an interview with CNBC-TV18.

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“We will clearly reallocate wherever there has been a significant fall beyond what we think the adequate value of that stock was at that time,” he said.

Pradhan believes, consumption is a very large part of the India story and he is very constructive on that.

According to him, the demand for entertainment, leisure will remain significantly strong in the country for a long time.

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“Entertainment, hospitality – the very large consuming areas clearly are areas of growth for India as we go forward in the next few years. That is not going to change,” he mentioned.

A few aspects of COVID-19’s new variant Omicron are unknown. The markets always react to unknown factors.

“At best this variant concern is likely to remain a near-term threat,” he said.

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“So, it is up to the markets to decide what to make of it. But at least at this time, this looks to be a short-term irritant, it is not going to be a very large issue in my opinion,” he added.

For the full interview, watch the accompanying video.

Catch all market updates here.

(Edited by : Dipikka Ghosh)