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Sohum Asset Managers CIO Predicts Market Bottom Soon, Focuses on Largecaps
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CNBC TV18•24-09-2026, 17:41
Sohum Asset Managers CIO Predicts Market Bottom Soon, Focuses on Largecaps
- •Sanjay Parekh, Founder & CIO of Sohum Asset Managers, believes the recent market selloff is nearing its bottom despite high crude prices, US bond yields, foreign investor selling, and regulatory uncertainty.
- •Parekh attributes market pressure to Brent crude, rising US 10-year yields, equity supply, and insurance sector regulatory proposals, but remains optimistic due to healthy balance sheets.
- •He expects second-quarter earnings to be a key market trigger, anticipating healthy earnings growth following a strong first quarter for Nifty, mid-, and smallcap companies.
- •Sohum Asset Managers will continue to focus on market leaders with strong balance sheets and reasonable valuations, including Maruti Suzuki, Reliance Industries, and large private banks.
- •The firm's strategy involves bottom-up stock selection, primarily in largecap companies, with a more selective approach and higher margin of safety for mid- and smallcap segments.
Key Questions Answered
Sohum Asset Managers increased its largecap allocation to navigate market uncertainty, focusing on dominant market leaders with strong balance sheets that can better survive difficult economic cycles.
Sanjay Parekh believes much of the negative pressure is already priced in, and he points to relatively healthy household, corporate, and banking balance sheets as reasons to remain constructive.
Sohum Asset Managers bought NSE shares on their listing day, and Parekh estimates the exchange could deliver 12-15% long-term growth supported by its asset-light business model and strong cash generation, despite near-term turnover pressure.
