Speaking on the occasion, Rakesh Jhunjhunwala, partner of Rare Enterprises, stressed that the Indian markets, contrary to popular belief, is not over-valued. The tax rates are reasonable in India. We have a good and able market regulator in Securities and Exchange Board of India (Sebi). It is a very competent market and not at all over-valued.
However, he couldnt resist his bullish nature saying, The bull phase will always last longer than the bear phase. Answering some queries, Mr Jhunjhunwala said he was quite bullish on the banking and finance sector. Finance will outperform everything else in the long run, he added.
Asked about his wish for the Budget, he said, Remove all tax exemptions and lower the tax rates. This will generate more revenue. Also present on the occasion were Pradip Shah, chairman of Ind Asia Fund Advisors Pvt Ltd; Ramesh Damani, director of Ramesh S Damani Finance Pvt Ltd; Raamdeo Agarwal, joint managing director of Motilal Oswal Securities Ltd; and SV Prasad, CEO of Birla Sun Life Asset Management Company Ltd.
Mr Prasad referred to the fact that the Sensex had never given negative rolling returns. If you look at the period between 1980 to 2004, the Sensex has never given negative rolling returns. There was an intermediate phase when the returns were low, but they were never negative.