Rising US Yields May Hurt Costly Mid, Small Caps More, Says Harish Krishnan
Rising US bond yields could pressure expensive mid- and small-cap stocks more sharply than large caps, according to Harish Krishnan, CIO – Equity at Aditya Birla Sun Life AMC. In an ETMarkets Smart Talk interaction with Kshitij Anand, he argued that investors should not mistake price momentum for business quality, and said earnings, cash flows and return on capital will matter more as markets become more selective.
