Why Investing In Hybrid Assets Makes Sense In Current Markets

Indian equity markets have been under pressure for the past six months due to a host of factors playing out. FPIs have sold close to Rs 3.4 trillion from October 2023 till now (March 24, 2024) in the equity cash segment. India’s GDP growth is expected to be a relatively modest 6.7 Per cent in FY26 according to the RBI, down from the heyday of 7-8 Per cent growth in the previous years. Corporate earnings have been underwhelming over the past 2-3 quarters in a row. Valuation multiples of mid and small caps continue to remain elevated despite a 25 Per cent correction in those indices.