As we assess the outlook for Indian markets in 2026, this report applies the Scientific Investing Framework to separate macro noise from investment-relevant signals. We examine global and Indian debt dynamics across governments, corporates, and households, alongside growth, inflation, and interest-rate expectations for the US and India. Against this backdrop, we evaluate Indian equity earnings growth and valuation multiples to understand potential market returns. While global debt levels warrant long-term caution, near-term system stability remains intact. Our analysis highlights how selective valuation dispersion within Indian equities creates meaningful opportunities for active investors, even in an environment of elevated headline market valuations.
What you can expect from this report:
- A structured analysis of global and Indian debt—government, corporate, and household—and its implications for financial stability.
- A clear macro framework for 2026 covering growth, inflation, and interest-rate expectations in the US and India.
- An assessment of Indian market valuations relative to realistic earnings growth scenarios
- Identification of undervalued pockets across market caps and sectors within the Top 500 stocks, and return expectations for both passive and actively managed portfolios.