“Look, we invest across the spectrum in public and private markets and we have actually found it very challenging to make investments in the public market the last few years. We just do not find the value. And large companies which are well run, each one has its own challenges in terms of growth. Smaller companies, we find are more than fully priced in most cases,” Bhasin said.
He emphasized that private markets currently present unparalleled prospects, fueled by inflection points across industries. AI, in particular, is a focal point, though Bhasin clarified that India’s AI infrastructure may not yet offer significant opportunities. “Many AI applications into specific domains, one will see a lot of new businesses starting up and one will see them scaling up,” he explained.
Bhasin also highlighted healthcare and pharmaceuticals as sectors ripe for disruption. “On the pharma side also on the domestic market there is a regulatory driven push… once the market figures out that the government has actually been implementing very strong quality controls… you will see a market shift in that direction,” he said.
Turning to retail investors, Bhasin suggested that consumer tech aligns closely with the AI boom. “It is a strong story and there is definitely a lot of business momentum and a strong business case there. On valuations I might have my own sort of reservations… Valuations always run ahead of reality because people are looking at not 1 year but 5, 10, 20 years of profit pools and discounting them up front,” he remarked.
When asked about the impact on Indian IT companies, Bhasin noted that the sector has seen its growth heyday, though opportunities remain. “If you look at the projects in the AI era today, they are getting smaller and your selling cost is not coming down… So, one has to be a little bit cautious about it,” he said. Bhasin stressed that large IT companies may need separate business divisions with distinct cultures to innovate successfully in AI-driven spaces.On the consumption front, he highlighted the positive impact of GST rationalization. “Once it was announced and before it was implemented you saw a big slowdown in consumption. Everybody deferred consumption, so you are seeing a big bump up there… India is a growth market… and when you reduce indirect taxes, that is usually the best place to reduce taxes in an economy. It will show up with a little bit of lag,” Bhasin explained.
Overall, Bhasin’s insights underscore a shifting investment landscape where private markets, technology-driven consumer businesses, and innovative applications of AI and healthcare solutions are increasingly attractive to investors.
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