With a Test match average of over 50-plus and an average of close to 40, Rahul Dravid is considered one of the greatest batsmen. During his playing days, the Team India coach was also loved as he stood alone against quality bowling attacks on difficult pitches. The performance of the Indian stock market this year is the same compared to Rahul Dravid’s green-top batting against top-class swing bowling.

Indian stock market index Nifty balanced on a year-to-date basis. But when compared to other global markets and other asset classes, Indian stock markets have managed to stand out.

“Looking at year-to-date (YTD) performance in relative terms gives a better insight. US Nasdaq is down more than 30%, Hang Seng is also close to -30%. Same with major Developed and Emerging markets, most of which are down over 5-10%. Even debt funds in domestic markets return about 1-3% due to the impact of rising interest rates. Gold and Silver have provided returns of around -2% to -5%,” said Vivek Goel, Joint Managing Director, Tailwind Financial Services.

“Now, compared to these results, looking at the performance of Nifty 1% doesn’t look that bad right? What is more? Although we know that the mid-cap segment is more volatile, in the same period its performance was 2%. This is the kind of resilience that Indian markets have shown this year which has seen the war between Russia and Ukraine, major sanctions affecting energy and commodity prices, inflationary concerns that have led to the US Fed going full throttle. towards a historic rate hike cycle, which has fueled concern. about the recession and China’s lockdown policy to limit the spread of Covid leading to supply pressures around the world.”

Mr Goel takes a cricket analogy to describe the Nifty’s performance this year: “Think of it in terms of cricket. On top of a green with excellent swing bowling, we respected Dravid for his defence. In a way the same parallel can be drawn with how Indian markets have performed this year. As investors, we would love to see markets grow linearly by providing the targeted 12-15% returns annually, but the truth is that most of this annual return is generated in a bull market and accidents are an important foundation before that. reduction in the market. portfolio in a volatile environment.”

His advice to investors: “Investors would do well to keep this in mind when sitting down to review their portfolio and performance. It would be important to consider relative performance rather than overall scheme performance when making a decision. At the same time, as we clean our homes in Diwali, it is a good idea to do a similar cleaning up of our wallets as well. With India’s position strengthening globally, a well-positioned portfolio would be able to benefit from the next phase of the market cycle.”

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