Kalpen Parekh of DSP Investment Managers on why low interest rates are pushing up stock valuations"When stock valuations are very high, future returns are low. And when valuations are low, future returns are high." Synopsis"When global interest rates are between 0 and 1%, it automatically reflects in higher stock valuations. Massive liquidity is being created, including in India where surplus liquidity of Rs 6 lakh crore is lying in the bond market every day," said Kalpen Parekh of DSP Investment Managers.

Source: Economic Times August 24, 2020 01:00 UTC