Over 81% IFAs responded in favour of Narendra Modi in an opinion poll recently run by Cafemutual.
The election results are keenly awaited by the country and the markets have already run up in anticipation of NDA winning the elections.
To see who IFAs want their next Prime Minister to be, Cafemutual ran an opinion poll which gave them four options – Narendra Modi, Rahul Gandhi, Arvind Kejriwal and Jayalalithaa Jayaram.
An overwhelming majority of 1236 IFAs across the country responded with their unanimous choice (no prizes for guessing), Narendra Modi.
It seems that Modi wave has influenced IFAs too. Eight out of ten IFAs would like to see Narendra Modi as the next Prime Minister of India. Majority of IFAs believe that Modi will bring good governance and expedite policy implementation in the country.
Though Modi wave will not have a direct impact on financial advisory profession, they believe that growth in macroeconomic conditions will eventually help them grow their business in the long run.
Suresh Sadagopan of Ladder7 Financial Advisory expects that Modi can bring a turnaround in the economy. “For the last ten years, we have seen a lot of pessimism due to policy paralysis and rampant corruption. Modi led government can help build optimism in the economy as he has a good track record in good governance.”
Chennai based Alagappan Thenappan said, “Market has touched its all-time high on the hopes of Modi becoming the Prime Minister. In fact, I have seen my asset under advisory grow by Rs. 1 crore in two trading sessions. This has never happened before. I believe that investor will come back to equity funds once BJP forms the government.”
The markets were trading at their all-time highs for the three consecutive days since Friday. While S&P BSE Sensex breached 24000 level and closed at 23,821 points, up by 320 points or 1.36%, Nifty closed at 7,109 points, up by 95 points or 1.35% today.
Rajat Dhar of Cogent advisory is of the view that Modi led government will help financial advisors to grow business. “If Modi comes to power and delivers on his promises, the equity market will grow resulting in gaining confidence of investors in equity mutual funds. Also, economic revival will provide enough room for RBI to reduce interest rates thereby creating new jobs and increasing salaries of individuals. Hence, people will have more disposable income to invest.”
Surprisingly, the opinion poll also reveals that a few IFAs prefer Arvind Kejriwal over Rahul Gandhi to become the next Prime Minister. The poll shows that 13% of IFAs want Arvind Kejriwal to become the next prime minister while a meager 4% IFAs have responded in favour of Rahul Gandhi.
Most of the exit poll results published by media suggest that a higher possibility of Modi led NDA to form the next government. However, the nation’s verdict will only be known on Friday, 16th.
