If you believe a stable NDA government under Narendra Modi could take charge at the Centre, than just forget chasing defensives from the FMCG, Pharma and IT space.
You might certainly not see stocks like TCS, Infosys, Dr Reddy's, Cipla, ITC, Hindustan Unilever giving you returns more than stocks closely linked to the economy.
If the feeling is clearly that a Modi led government would give an impetus to the economy, you must bet on stocks from the PSU banking space, Infrastructure, Capital Goods and Construction space.
If a stable government were to take shape rest assured you will not get stocks from the capital goods and Infra space like Bharat Heavy Electricals, Crompton Greaves, Voltas, Siemens etc., at the current levels.
PSU banking stocks are also likely to see a stunning rally as they are likely to benefit from a buoyant economy. Stocks like Canara Bank and Syndicate Bank, which have much better control over their non performing assets could be the first to rally.
You will of course like to bet on infrastructure and construction major L&T, NCC and others as well. A Narendra Modi government is also likely to see a rally in the traditional brick and motor companies including those from cement and steel.
The next few months are likely to be volatile and you would want to predict the outcome of the elections correctly.
If there is a badly hung coalition government, and if you have invested in defensives, you might come out unscathed. If you believe that the people of the country are going to deliver a fractured mandate, you better stay invested in FMCG, Pharma and IT.
The best bets of course would be HUL, ITC, Infosys, Cipla, Sun Pharma, Dr Reddy's, HCL Tech, Wipro and other defensive stocks.