Resilience, reforms, and the road ahead for India

India’s equity market is entering a new phase where robust long-term growth prospects are now paired with more reasonable valuations after a healthy correction in 2025. A young, expanding population and rising domestic consumption continue to underpin the country’s economic momentum, while a steady flow of structural reforms is improving the operating environment and corporate profitability. At the same time, India’s broad opportunity set across sectors—from consumer and manufacturing to technology and AI—offers active investors multiple ways to access this growth.

Because India’s economy is largely domestically driven and less correlated with other emerging markets, its equities can provide meaningful diversification benefits within global portfolios. For advisors and investors, this combination of resilient fundamentals, improving business conditions and normalized valuations makes Indian equities an increasingly compelling area for selective long-term allocation.