Investors who poured record amounts into Indian stocks, sending valuations to the highest in Asia, need to be cautious, according to the nation’s largest money manager.
“The real problem at this point of time are high valuations and the local exuberance,” said Sankaren Naren, chief investment officer at ICICI Prudential Asset Management Co. “We have had a long period from 2011 without any big drawdown in stocks. It’s tough to convince mutual fund investors that stocks may fall.”
