Jyotivardhan Jaipuria, founder & MD of Valentis Advisors, shared his views on Union Budget 2019 in an interview with CNBC-TV18.

Share Market Live

NSE

“There are a lot of positives in the budget but everyone focusing more on foreign portfolio investor (FPI) tax ... We are having a lot of anomalies between different types of tax structures and for FPIs also; trusts are taxed but if you are a company you are not taxed,” said Jaipuria on Tuesday.

“Within India companies and limited liability partnerships (LLPs) do not pay tax but all other structures pay tax. So effectively people are grappling with confusion around tax structures,” he said.

Talking about the specific sectors, he said, “Since last quarter we have seen all the consumer companies struggling in terms of corporate performance, everybody is seeing a slowdown.”

“There are very few NBFCs which are doing well and the ones which are doing well are very expensive. They continue to do well so to that extent there is no issue in terms of performance but it is the valuation which we are willing to pay,” Jaipuria added.

On individual stocks, Jaipuria said, “We are trying to play stocks which are underperforming the market. So one sector is cement which has done relatively badly but where pricing powers come in and if some of the infrastructure projects which the government is talking about, fructifies then next 2-3 years will be good for the cement sector and that’s one area which we are focused on.”