ET Alpha Wealth Summit | Quality has rarely been this cheap relative to junk; 3 themes to buy now: Saurabh Mukherjea (opens original article in a new tab)

Saurabh Mukherjea suggests that quality stocks are undervalued compared to lower-quality ones, highlighting three investment opportunities in Indian exports, European and US small and mid-cap stocks, and Indian financial services.

• Saurabh Mukherjea argues that quality stocks in India and global markets are at their cheapest levels in years despite stretched index valuations.
• He identifies three investment themes: export-oriented Indian manufacturing, undervalued US and European small and mid-cap stocks, and high-quality Indian financial services.
• Mukherjea notes that the historical pattern of investors fleeing to quality during economic stress is reasserting itself as earnings growth faces pressure.