The frontline Indian private sector banks, especially HDFC Bank and Kotak Bank (both are in our client’s portfolios). Obviously that begs the question as to which Indian auto EM will be able to deal with it. So I would be careful about jumping into buying autos saying that the sector is bottomed out. I think the scale of investment is necessary by the auto OEMs to transition to EV will be quite substantive. The impact to long-term valuations could therefore be quite meaningful.I do not think the central bank has that much choice.

Source: Economic Times May 16, 2019 07:06 UTC