Archive · 27 Oct 2025
HDFC AMC's Munot: Market Returns to Hinge on Earnings Growth
The head of HDFC Asset Management, Navneet Munot, says that the stock market's future growth will depend on how much companies earn.
Previously, the Indian market was heavily influenced by global events, but now it's more stable because of domestic investors.
Munot believes that current valuations are reasonable, with mid-cap stocks slightly higher than usual.
He highlights that government spending and private investment should help the market grow, with a focus on sustainable earnings.
Munot also noted the benefits of India's large, young population and how India is well-positioned for long-term opportunities despite some recent underperformance compared to other markets.
Munot believes market returns will primarily depend on earnings growth.
Steady domestic investment has decreased market volatility and dependency on global sentiment.
Munot anticipates a broad-based recovery driven by policy measures and increased consumption.
Large-cap stocks are reasonably valued while midcaps are trading at a premium.
India is positioned for long-term opportunities due to macroeconomic stability and a young population.
- Who
- Navneet Munot, Managing Director and CEO of HDFC AMC
- What
- Discussed the Indian stock market outlook, investment strategies, and the importance of earnings growth.
- When
- Recently
- Where
- India
- Why
- To provide insights into market trends and investment advice.
- Company
- HDFC Asset Management Co.
- Assets Under Management
- ₹7.5 trillion
- Investment Approach
- Focus on earnings growth
- Historical Reliance
- Global investors' prior love for India: structural growth and high-quality businesses
- Market Volatility
- Steady domestic flows reducing it
- Sector Assessment
- Large-caps are reasonably valued; midcaps are trading at higher than the long-term average.