Siddharth Mehta Of Bay Capital Talked About India’s Long-Term Growth Despite COVID-19 Impact

 Even while near-term obstacles in the face of COVID-19 exist, Siddharth Mehta, Founder & CIO at Bay Capital, feels that India's long-term growth story remains intact.
 

Siddharth Mehta, a 19-year market veteran, worked for Kotak Mahindra Group, where he was important in growing the company's worldwide asset management division. Today, he and his venture Bay Capital is growing adequately. Also, he really positive about rapid growth of Indian economy despite the headwinds of COVID 19.   

Without a doubt, the Western press is critical of India's handling of the second wave. In the short run, allocators are cautious since the news coming out of India on the COVID front is not good. Longer-term investors, on the other hand, are well positioned to look past the immediate issues and continue to Favour India as an investment destination.

Siddharth discussed his outlook for profit growth in the short and medium term. According to him, near-term earnings are anticipated to remain modest due to the disruption caused by the second wave. This is also supported by the management's comments at the time of the most recent quarterly results. The rate of recovery that we began to see in the third quarter of last year is likely to slow a little, and the recovery will be stretched out by at least a couple of quarters.

Siddharth Mehta also believes in the chemical industry and how it has garnered high values. He claims that the majority of these companies have witnessed phenomenal success as a consequence of many expansions and strong bottom-line growth. The overall opportunity set for high-quality frontline firms remains solid, although values in certain cases appear to be strained in the short term.

Finally, Siddharth Mehta IL&FS Former Director, shared his learning keys from COVID second wave. According to him one of the most important lessons is to never become complacent and to never let our guard down. This is true both in terms of the epidemic and in terms of investment.

Another important takeaway from the events of the last year for us is that temperament is an important factor in investment success. Siddharth Mehta believes that things are rarely as good as they appear, and that things will never go as terribly as we would assume, based on our experience navigating through several market cycles and crises.