Abakkus stays away from traditional IT despite cheaper valuations
In short
Abakkus Asset Manager is not buying traditional IT stocks, even though valuations have improved. It is focusing on profitable digital businesses instead.
Aman Chowhan also sees a multi-year chance in manufacturing and capital goods. He says building materials and consumer durables could also offer fresh investments.
What the reporting says
Abakkus Asset Manager is staying away from traditional IT services while focusing on profitable digital businesses, even as valuations improve. Fund Manager Aman Chowhan also sees a multi-year opportunity in manufacturing and capital goods, while flagging building materials and consumer durables as possible new investment areas. The note is a stock-picking preference update rather than a broader sector call.
Why it matters
Abakkus Asset Manager is staying away from traditional IT services and focusing on profitable digital businesses despite improved valuations. Fund Manager Aman Chowhan also sees a multi-year opportunity in manufacturing and capital goods, with building materials and consumer durables as possible areas for new investments. The update points to a sector preference shift in equity allocation.