A rally in value stocks over the past year has pulled up the returns of hitherto underperforming equity schemes of HDFC Mutual Fund, but experts are sceptical about whether it can be sustained.
Prashant Jain, executive director and chief investment officer at HDFC MF, has traditionally been known for his bets on public sector undertakings and cyclical stocks. Many of these fall into what is commonly regarded as the ‘value’ category. Value stocks are those that trade at cheap valuations (such as low price-to-earnings ratio) but typically face challenges in areas such as earnings growth, profit margins or debt. Click here to read more
