Mumbai: According to a survey by AMC, the Indian stock market has beaten the world’s wealthiest investor, Warren Buffett’s Berkshire Hathaway, in terms of return over the past 25 years, signifying a remarkable shift in global Investment trends.
In its research, Helios, an asset management company based in Singapore with a concentration on India, stated that the Nifty 500 index had given 12.56 percent annual return as compared to 9.52 percent by Berkshire Hathaway and that, too, in US Dollar terms between July 31, 1999, and July 31, 2024.
The report further said, “During this period, India also had to face many challenges, which included the US sanctions imposed on India after the May 1998 nuclear bomb test and the Kargil war in 1999. The Indian markets also showed resilience during the coalition governments.”
Moreover, in India, the abrupt change of government in 2004 caused the market to drop by 17%, and the 2008 Global Financial Crisis also caused a significant drop.
The market also experienced difficulties as a result of drought and corruption between 2011 and 2015, which led to a decrease in investor confidence and a temporary slowdown in market growth.
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The market has not only survived these shocks but also thrived, providing investors with profitable returns, a testament to its resilience and stability.
The research also emphasised that India has consistently outperformed over the long term despite numerous difficulties and instability, instilling confidence in its potential.
In the present year, the Indian stock market has continued to perform well, instilling optimism about its future prospects.
Since the start of 2024, the Sensex and Nifty have increased by 11.66% and 13.60%, respectively, from August 20 to the present.
Experts said there are many reasons for the sharp rise in the Indian stock market, including a high growth rate, stable government, reduction in inflation, and financial discipline by the government.
India’s GDP growth rate was 8.2 percent in FY 2023-24. It is expected to grow at 7.2 percent in the current financial year.
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–IANS
