Old Bridge Mutual Fund founder and chief investment officer Kenneth Andrade says he expects earnings growth to improve this year, but he is still not adding much exposure to information technology stocks. That cautious stance stands out because IT valuations appear attractive, yet Andrade seems to prefer areas where he sees stronger support for earnings and market performance.
In his latest market view, Andrade remains constructive on Indian equities overall. His positioning continues to reflect a high-conviction approach, with a clear tilt toward sectors he believes can deliver better growth as corporate earnings recover. Pharma and automobiles are among the segments where he remains positive.
At the same time, he is underweight on financials and IT. The takeaway from his positioning is that lower valuations alone are not enough to make a sector compelling if the broader earnings picture or demand outlook is still less convincing than in other parts of the market.
Andrade also identifies crude oil as the biggest risk for markets. Higher oil prices can pressure inflation, costs and sentiment, making crude an important factor to watch even as he stays broadly optimistic on the earnings cycle and selective opportunities within Indian stocks.
