Accumulate banking stocks: Choksey

According to Deven Choksey of KR Choksey Securities in falling market banking should be accumulated.
Choksey told CNBC-TV18, "For me I think bank is a good holding into the portfolio, so as far as the investment is concerned there is no question of looking back into the banking stocks. You would have such kind of jerks coming in because of what has happened to ICICI Bank but market has probably overdone most of the time in such kind of situation. Even in case of ICICI Bank, if one looks at it, I think if one has to factor the full Mark to Market (MTM) provision for whatever outstanding that they have into the overseas market, including Lehman's outstanding position, then I think also the maximum amount of loss per share for ICICI would be not more than Rs 8/share."
He further added, "If you see the loss of market capitalisation it is something very substantial. So I would say that in such situation, given the kind of merits with the banks like ICICI, I would venture into some kind of a buying at lower levels and not sell my portfolio, which I am holding into the baking stock particularly with the PSU banking stock like State Bank of India. So my position is very clear in falling market banking should be accumulated."
Disclosure: It is safe to assume that analyst and his clients may have an investment interest in the above stock/sector.

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