Invesco India Focused 20 Fund finishes at No.2 among 86 flexicap funds in 2024 after a No.1 position in 2023 while the Invesco India Financial Services Fund – the other fund managed by the same duo of Taher and Hiten – moves to No. 1 position in its category in 2024 after a top quartile performance in 2023.
Taher says the key to their strong performance in 2024 was maintaining a positive outlook amidst walls of worry in the market and extending their stock coverage which enabled them to pick many winners.
Taher acknowledges that valuations across several sectors look optically high. Robust earnings growth momentum and strong earnings visibility over next few years can however sustain these high valuations amidst robust domestic flows. A good case in point is power equipment manufacturers and other parts of the power eco system.
He is bullish on specific niches within the CDMO/CRAMS segment of healthcare as also healthcare services providers like hospitals and diagnostics players.
Within financials, while their sector fund benefited from exposure to capital market players, Hiten says the big bet for 2025 is on private sector banks.
Taher’s pick for a potential dark horse winning theme for2025 is value consumption plays – companies that cater to lower and middle income segments’ discretionary consumption needs such as value retail, whitegoods etc.