homemarket NewsStandard Chartered forecasts steady 6 7% growth for Indian equity market over the next decade
Standard Chartered forecasts steady 6-7% growth for Indian equity market over the next decade
In an interview with CNBC-TV18, Rajat Bhattacharya, Senior Investment Strategist at Standard Chartered, said that there is a growing sentiment among fund managers towards a structural bull market in India.
Indian equity market is likely to maintain a consistent growth rate of at least 6 percent over the next one decade, predicts Standard Chartered's Senior Investment Strategist.
Rajat Bhattacharya, Senior Investment Strategist at Standard Chartered, said in an interview with CNBC-TV18 that there is a growing sentiment among fund managers towards a structural bull market in India. He highlighted that India is expected to maintain a consistent growth rate of 6-7 percent over the next decade.
The anticipation that the Indian equity market will experience consistent growth at a rate of 6-7 percent over the upcoming decade holds implications that extend far beyond financial markets. This projection suggests a degree of confidence in India's economic fundamentals and its potential to generate value for investors in the equity market.
Bhattacharya said; “Fund managers globally are waking up to the idea of the structural bull market in India and that is because the Indian growth story is an idiosyncratic story in the emerging market space. India is expected to grow continuously over the next decade at 6-7 percent and Indian earnings start delivering. So, they see India as an idiosyncratic case within emerging markets and even globally and this is what builds the structural story for India.”
However, a point of comparison that Bhattacharya introduced is the valuation differential between India and its neighbour, China. According to Bhattacharya, Chinese valuations currently stand at almost half that of India.
“Within Asia, China is at rock bottom; the valuation is almost half of India. So, the structural story is favouring India, but in the short-term, if China delivers on some more stimulus, you could see some upside in China as well,” he added.
For more details, watch the accompanying video
(Edited by : C H Unnikrishnan)
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