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Interest rate is one of the variables which are affecting these 3 sectors. It is not that it is the most important variable. Their fundamentals have to be good from various other points of view. In the case of infrastructure, the quality of projects that are coming because of policy issues etc., there has been slowdown in good quality projects coming up in that sector. In the case of autos, apart from demand, there are lots of other issues like competitive intensity and so on. And in the case of financials, we are in an uncharted territory because now there is a savings bank deregulation.

So what implication it has on margins, we have to assess and some of the bigger banks especially state owned banks might see NIM compression and the non-performing loans are still rising. So, I do not think it is time to get bullish on these 3 sectors. It is possible that the interest rates might have peaked and it might come down a bit in 2012, but that is only one of the variables affecting these sectors and there are a lot of other variables and I would not become too bullish on any of them at this point of time.

ET Now: So what has been your portfolio strategy of late? Which are the businesses or stocks you are buying with the assumption that future will be better than the present?

Sukumar Rajah: The best tactical strategy is long term. That is my view and I do not think any short-term strategy can be totally divergent from your long-term thinking. Then there is no meaning for the long-term thinking. So, I do not think we have the great tactical strategy, but one possibility is that if the quality cyclicals have beaten down too much because of the concerns, there might be an opportunity to increase weight there. But apart from that, one really has to look at the ability of companies to create value from a long-term point of view and stay invested in those companies.

ET Now: So would you say that the worst for Indian markets is behind us or do you think because of...