In terms of return over the last 25 years, the Indian stock market beat the portfolio of the world’s wealthiest investor, Warren Buffett’s Berkshire Hathaway, according to a research by the AMC business.
In a research, Helios, an asset management company established in Singapore with a concentration on India, stated that, from July 31, 1999, and July 31, 2024, the Nifty 500 index returned 12.56 percent annually, while Berkshire Hathaway returned 9.52 percent. The report was written in US dollars.
“India also had to face many challenges during this period, which included the US sanctions imposed on India after the May 1998 nuclear bomb test and the Kargil war in 1999,” the paper continued. During the coalition governments, the Indian markets likewise demonstrated endurance.”
The abrupt change of administration in 2004 caused the market to drop by 17%, and the 2008 Global Financial Crisis also caused a significant drop in the market.
The market also experienced difficulties as a result of drought and corruption between 2011 and 2015.
The market has proven capable of weathering these shocks and providing investors with profitable returns.
The research also stated that India has demonstrated that it is a long-term outperformer in spite of numerous difficulties and instability.
In the present year, the Indian stock market has also performed fairly well.
From August 20 to the present, the Sensex and Nifty have increased by 11.66% and 13.60%, respectively, since the start of 2024.
The strong increase in the Indian stock market can be attributed to a number of factors, according to experts: “a high growth rate, stable government, reduction in inflation, and financial discipline by the government.”
India’s GDP grew by 8.2% in the fiscal year 2023–2024. For the current fiscal year, growth at a rate of 7.2% is anticipated.
