• Samvat 2080 saw a record-breaking surge in Indian investors' wealth, with a significant increase in the stock market and precious metals.
• The National Stock Exchange crossed the 20 crore investor mark, and 336 companies debuted in the market.
• Despite a 6.2% market correction in October, experts advise focusing on stock-specific investments with promising Q2 results.
• The upcoming US election is expected to significantly impact gold prices.

The Indian stock market concluded Samvat 2080 with a significant surge in investors' wealth. The wealth of investors skyrocketed by an astounding Rs 128 lakh crore (approximately $1.5 trillion at the current exchange rate), reaching a total of Rs 453 lakh crore within a single year.

This unprecedented growth has marked Samvat 2080 as the most prosperous wealth-creating year in history. The robust growth can be attributed to several factors, including a stable government, strong economic fundamentals, and record inflows by domestic funds, which amounted to Rs 4.7 lakh crore.

The National Stock Exchange (NSE) witnessed its investor base cross the 20 crore mark, indicating a strong interest from retail investors. The year also saw a significant number of companies making their debut in the stock market. A total of 336 companies entered the market in Samvat 2080, with 248 of these coming from the Small and Medium Enterprises (SME) segment.

Nearly 100 of these Initial Public Offerings (IPOs) launched with listing gains exceeding 50 per cent, and 163 IPOs are currently trading above their issue prices, according to industry data.

Precious Metals and Mutual Funds Performance

In addition to the stock market, Samvat 2080 also witnessed substantial growth in the prices of precious metals. Gold and silver delivered returns of 32 per cent and 39 per cent, respectively. This surge in prices can be linked to three key global factors: geopolitical tensions, the US presidential election, and global interest rate policy.

The mutual fund sector also experienced significant growth, with its total assets reaching about Rs 68 lakh crore. Systematic Investment Plan (SIP) investments are nearing the Rs 25,000-crore mark. The new Samvat, or Hindu New Year, begins at the time of Diwali. Many investors believe that trades made during Muhurat, a specific auspicious time, draw prosperity for the year ahead.

Market experts have noted that with Nifty returning 25 per cent and Nifty 500 returning 30 per cent in Samvat 2080, investors have reason to be content. However, a 6.2 per cent correction in October, the first above 5 per cent correction in 54 months, has sparked anxiety over the market's future performance.

Market Concerns and Future Outlook

A matter of serious concern is the relentless Foreign Institutional Investors (FII) selling in October, which amounted to Rs 113,858 crore through the exchanges. Given India's elevated valuations and concerns over a slowdown in earnings growth, FII selling might continue, potentially impacting the benchmark indices. In such a scenario, experts suggest that investors should focus on stock-specific investment where Q2 results have been good, and earnings visibility is bright.

Jateen Trivedi from LKP Securities has stated that the US election next week is expected to be a decisive factor for gold's trend, with market participants closely watching its outcome for further direction. In the national capital, gold prices remained flat at Rs 82,400 per 10 grams, while silver prices dropped by Rs 1,500 per kg, according to the All India Sarafa Association.

The precious metal had rallied Rs 1,000 to breach the Rs 82,000 per 10 grams level for the first time in Delhi on Wednesday. However, silver was under selling pressure and fell below the Rs 1 lakh mark, declining by Rs 1,500 to Rs 99,500 per kg after five straight days of gains.