Demonetisation: Equities remain best bet; avoid exposure to gold,real estate...!

Domestic equity market has witnessed a slide in recent weeks even as there is widespread expectation that governor of Reserve bank of India, Urjit Patel, will announce a cut in repo rate in the forthcoming fifth bi-monthly Monetary Policy statement on supr growth.

The demonetistation excerise by the government has created negative impact on asset classes such as real estate and Gold, with purchases slowing down in both.

Domestic equity market has witnessed a slide in recent weeks even as there is widespread expectation that governor of Reserve Bank of India, Urjit Patel, will announce a cut in repo rate in the forthcoming fifth bi-monthly Monetary Policy statement on spur growth ..

Should investors reblance their portfolio given these trends and what are the preferred asset classes..? Leading personal finance advisors feel equities could remain the best bet in the current scenario and fresh position can be taken amis the slide while softening interest rates makes a case for lowering of exposure to debt.

"The indicators augur well for Indian equities over a 3-4 year perspective. Investors should look to capitalise on the correction in markets and gradually increase their exposure to the equity segment.Rao adds gold as another Asset class that should be avoided for the time being with real estate."He said."

For Gold, there has been apprehensions that government would go after those who conducted purchase through black money......!