Stock market investors have made $1.5 trillion since last Diwali. What is in Samvat 2081?

The Nifty has delivered a multibagger return with a 25% gain since the end of 2080 and a score of stocks in the broader market, investor wealth, measured by the total market capitalization of all BSE-listed stocks, since Rs. 128 lakh crore or about $1.5 trillion has increased. Last Diwali.

Samvat 2080 now goes into the record books as the highest wealth generating year.

“The growth was fueled by strong corporate earnings, improved GST collections, revival in the capex cycle, favorable monsoon conditions and high domestic demand. Further, liquidity inflows from mutual funds and positive global cues contributed to market resilience. Globally, the US indices. There were also gains of 27% to 35% during this period, reflecting a synchronized rally,” said OmniScience Capital CEO and Chief Investment Strategist Dr. Vikas Gupta said.

During the year, NSE’s investor base crossed the 20 crore mark while the mutual fund industry’s assets under management stood at around Rs. 68 lakh crore, in which the monthly SIP inflow was Rs. 25,000 crores, which achieves a living-high standard.

Analysts say the biggest lesson from this Samvat is not to underestimate the potential for a bull market. Amit Goyal, co-founder and chief global strategist at Pace 360, said everyone who booked small profits in equities never got a chance to re-enter.

“On the flip side, there was a significant mistake in over-allocating to high-risk equities, especially during periods of market euphoria. The resulting decline underscored the importance of systematic buying and periodic rebalancing of portfolios,” he said.

Outlook for Samvat 2081

While the long-term growth story for Indian equities remains stronger than ever, current valuations leave limited room for expansion.

“This means that growth in corporate earnings will be a key driver of market returns. A balance of growth – at reasonable prices – and quality will be critical for good returns in the year ahead,” said Pranav Haridasan. and CEO of Axis Securities.

Bajaj Broking expects Nifty to target 28,400 levels by Diwali 2025.

“This target is aligned with the rising trendline on the annual chart that connects the major highs since 2014, as well as the scaling effects of previous significant rallies. However, the upward movement is expected to be accompanied by volatility rather than a straight path. We believe a healthy correction is long-term. will make the market healthy for an uptrend,” he said.

However, corporate earnings, after four consecutive years of healthy double-digit growth, are moderating due to pressure from commodities and dampening tailwinds from BFSI asset quality improvement.

“Nifty’s earnings growth is likely to remain stable at ~12% CAGR in FY24-26. So for Samvat 2081, we expect Nifty to return in line with earnings growth as valuations remain close to long-term averages,” said Siddharth Khemka of Motilal Oswal. .

The brokerage identifies sectors such as financials, consumer, industrials, EMS, technology and healthcare for investment in 2081.

As earnings growth is expected to be muted at the overall level, benchmark indices such as HDFC Securities Nifty are expected to generate modest returns.

As we roll-over into FY26, we expect overall growth to resume and indices to return investors in the low double digits,” said HDFC Securities MD and CEO Dheeraj Relli.