Is India losing its stock market dominance

• 19-Feb-2023
• 263

After hitting a lifetime high in the initial days of December last year, Indian benchmarks Sensex and Nifty 50 have corrected significantly. Broadly, so far in 2023, markets have performed volatile. That is because the Indian market is at a premium compared to developed and emerging peers. Simply put, Indian equities are expensive, making other markets look attractive to investors. The premium in Indian stocks is expected to moderate going ahead, however, will not get eliminated. In such a scenario, where should investors put their money? According to Emkay Wealth Management, investors should use the opportunity of premium Indian markets to invest in quality stocks. The brokerage listed three sectors as top picks for investment in equities. These are BFSI, Tech, and Manufacturing. In its latest note titled "Navigator", Emkay pointed out that last month, Indian equities traded lower due to external factors, especially the US interest rate policy.