First-Time Stock Market Investors Can Bet on These Sectors and Categories, Say Experts

First-Time Stock Market Investors Can Bet on These Sectors and Categories, Say Experts

The Covid pandemic has led to a surge in the number of first-time investors entering the stock market, resulting in a record number of demat accounts being opened. However, for those starting their stock market journey, it can be challenging to find the right sectors or categories to invest in. In order to select the right stocks, it is important to research and conduct due diligence, including studying annual reports, company valuation, and peer reviews. Experts suggest considering sectors such as capital goods and consumer durables for potential revenue and margin expansion. The IT sector is also recommended due to its contribution to the Nifty 50 Index and India’s share in global outsourced spending. The BFSI sector, particularly banking, is crucial for economic growth and offers growth potential due to credit under-penetration in India. Large-cap and blue-chip stocks are also favored by experts for their potential to benefit from policy rate cuts and foreign investors’ inflows. By investing in these sectors and categories, first-time investors can position themselves for potential long-term growth in the stock market.

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TIS Staff

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