Harish Krishnan: Markets in Reset Mode, Look Beyond Market Caps for Value

• Harish Krishnan of Aditya Birla Sun Life AMC advises investors to focus on undervalued sectors and companies, not just market caps.
• He believes markets are undergoing a 'reboot moment' due to geopolitical tensions and trade tariffs, creating new long-term opportunities.
• Policymakers are shifting focus from macro stability to growth, favoring rate cuts and domestic consumption.
• Krishnan identifies consumer durables and retail as attractive sectors due to asset-light models, strong cash flows, and appealing valuations.
• He cautions against crowded small-cap themes with inflated valuations and expects the Union Budget 2026 to prioritize capex and support consumption.

Why It Matters: Investors should adapt to the market reset by seeking undervalued sectors and companies with strong fundamentals.