PPFAS holds cash in 'overvalued' mkt

Indian equities are overvalued as earnings grow slower than expected and a relentless supply of shares from large initial public offerings and stake sales by promoters soak up liquidity, according to Rajeev Thakkar, chief investment officer at PPFAS Mutual Fund.

- Bloomberg

Thakkar, whose flagship flexi cap fund is India's biggest, is holding about 20% of the roughly $10 billion assets in cash. And he is in no hurry to deploy it.

"Valuations are still expensive and even if the market corrects another 10%, you won't be getting many quality names at a reasonable price," Thakkar said in an interview in Mumbai.