Rise in leverage in recent years means what ??
A steady rise in leverage in recent years means some Corporate India now has the most leveraged balance sheets ;with Fed liquidity anticipated to slow, now the cycle turns more adverse. Some corporate balance sheets face a combination of slower growth and higher funding costs. Slower economic growth is putting downward pressure on earnings growth and rising real rates is putting upward pressures on funding costs turning bad macro into even tougher micro
Look at Corporate India , who is selling and who is buying and you will have a clear idea as to where to invest if at all you want to in this market situation
Future group is selling its key brands share to clear debts cost and so is DLF , but look at AdityBirla Group , its buying or converting loans into share as they believe in the growth story of that industry , and so is Hindustan Unilevers