Given the turbulence in 2015, the predictions are ominous for the markets this year too. Keeping that in mind, Forbes India has put together a portfolio of companies that can help tide over bad times
The European Rates Weekly, a research report published by the Royal Bank of Scotland, on January 8, warned about 2016 being a “cataclysmic year” where stock markets could fall up to 20 percent and oil can slump to $16 from the current $30 a barrel. The report has further said that this could create a crisis akin to the one in 2008, which is why it makes sense to stay in good quality bonds.
Now, more often than not, eight years seems to be the average gap between financial crises—think 1992, 2000 and 2008. So the trend doesn’t really bode well for 2016. The potential trouble will affect Europe and to a certain extent even the US. But, should India be worried?
The answer is yes. Global financial markets are integrated and India too will have to tread carefully. The Sensex is already down 10 percent from a year ago, and this downward trajectory looks set to continue.
(This story appears in the 05 February, 2016 issue of Forbes India. To visit our Archives, click here.)