A MIRA Wealth Market Perspective

The best time to invest rarely feels comfortable.

Markets have gone nowhere for nearly 24 months. Elections. Tariffs. War. Global uncertainty.

Most investors have responded by waiting — but markets rarely wait for certainty.

Peak Optimism
Market Correction
Today
Economic Recovery
Market Rally
India Is Turning Around

Six signals. One conclusion.

India's investment case has quietly become much stronger — not on hope, but on six things that have measurably shifted.

01

Earnings are accelerating

Companies are growing profits faster than revenue.

02

Growth is returning

Corporate earnings are expected to strengthen through FY 27–28.

03

Valuations have reset

Markets are back near their long-term averages.

04

India is more competitive

A favourable Rupee and export tailwinds improve earnings potential.

05

The macro backdrop is strengthening

Profits, credit growth and GDP are all moving the right way.

06

Global capital may rotate back

India remains one of the few large markets still attractively valued.

Individually, these are positive. Together, they create a compelling entry point.

Reason 01 · Earnings & the Growth Runway Ahead

Corporate India is growing again.

Markets don't sustain long-term rallies without earnings — and India's earnings cycle has already started improving.

FY26 Revenue Growth
9.6%
FY26 Profit Growth
15.3%
Profits are growing faster than revenue — companies are becoming more efficient, not just riding a boom.

10–12 years of data confirm this isn't a one-quarter story.
India Inc. Revenue vs Profit Growth (FY20–FY26)
1.6
-15.3
FY20
2.2
43.4
FY21
27.2
51.3
FY22
23
13.3
FY23
8
9.6
FY24
8.3
5.7
FY25
9.6
15.3
FY26
Revenue growth %Profit growth %
Source: CMIE Prowess, LSEG Workspace, NSE, DSP research.
Reason 02 · The Growth Runway Ahead & Valuation Comfort

Growing earnings at lower valuations.

Analyst estimates point to accelerating earnings growth over FY27–28 — arriving just as valuations have corrected from their September 2024 highs.

Consensus Sensex EPS Growth Estimates
10.4
FY26e
14.1
FY27e
16.6
FY28e
Source: Morgan Stanley Research (estimates), CEIC, Bloomberg, DSP research.
12-Month Forward P/E — Peak vs Today
24.8
18.8
Nifty
35.5
27.3
Midcap 100
24.2
22.4
Smallcap 100
Sept 2024 peak (x)Today (x)
Growing earnings at lower valuations: Nifty forward P/E has fallen from ~23x to ~17x — near its long-term average — while EPS growth accelerates toward 17% by FY28.
Reason 03 · Currency Advantage & Macro Tailwinds

The ground itself is shifting.

The economy isn't just recovering — it is becoming structurally stronger.

First time since Apr '23

The Rupee

is now cheaper than the Chinese Yuan on a real, inflation-adjusted basis — a direct tailwind for Indian exporters.

Loan growth is 1.7×

Nominal GDP growth

Loan growth is now running at 1.7 times nominal GDP — a classic sign of an economy gathering momentum.

Corporate profits is 5.2%

Of GDP — an all-time high

Corporate profits as a share of GDP are back at levels last seen at the 2008 peak.

Stronger businesses create stronger equity returns.

Reason 04 · Overpriced Emerging Markets

Everyone else already made their move.

Over the last two years, global capital chased Korea and Taiwan — both up 50–115% and now richly priced versus their own history. That kind of concentration rarely lasts.

Taiwan & South Korea · 2-Year Return
50–115%
Both markets now make up half of the entire Emerging Markets index between them — and profit-booking has already begun.
Valuation vs Own 10-Year Average P/E
India
-2.4
China
-11
Taiwan
85.1
South Korea
71.5
Richly priced markets are exactly where profit-booking starts. Yesterday's winners rarely become tomorrow's biggest opportunity.
Reason 06 · India Yet to Be Discovered

The market that hasn't been discovered.

India and China are the only two large emerging markets still trading below their own history — and India remains both cheap and structurally under-owned.

Weight in EM Benchmark Index — Still Under-Owned
India
10.7
China
20.2
Taiwan
23.3
South Korea
26.6
Return on Equity — Quality at a Discount
Taiwan
18.18
MSCI World
16
India
15.3
South Korea
13.75
MSCI EM
13.68
China
10.9
The setup: India carries the cheapest valuation of the four, above-average ROE, and just 10.7% of the EM index weight — cheap, high-quality, and still undiscovered.
Pattern Recognition · What Happened Last Time

History rhymes.

Markets have faced this exact kind of uncertainty before. Each time, the recovery arrived before confidence did — and rewarded those who stayed invested through the discomfort.

Illustrative 12-Month Return Following Past Peak Uncertainty
80
2008
32
2013
92
2020
Illustrative index recovery windows following past periods of extreme market uncertainty. Past performance is not indicative of future returns.
The pattern: each time, waiting for certainty meant paying a higher entry price once it arrived.
The Arithmetic of Waiting

What waiting has already cost.

Illustrated using the average 12-month recovery across the three uncertainty windows above.

₹1 Cr deployed at peak uncertainty
~₹1.5 Cr
twelve months later. Illustrative — based on the average 12-month recovery across 2008, 2013 and 2020.
₹1 Cr held in cash
₹1 Cr
twelve months later — still ₹1 Cr. Worth less in real terms once inflation is accounted for — certainty has a cost too.

This is illustrative, not a projection or a guarantee — but the arithmetic of staying in cash is not neutral. It is a decision with a cost.

A Necessary Pause

Waiting was reasonable.
The data simply didn't support conviction.Until now.

Markets recover before headlines improve.

Valuations expand before confidence returns.

Institutional investors buy before retail feels comfortable.

Waiting feels safer. Historically, it has often been more expensive.

The biggest investment risk today may not be volatility.
It may be staying on the sidelines.

Our Recommendation

Participate now. Invest more.

Deploy immediately
70%

Lump sum into the Aggressive Actively Managed Strategy (AMS) on the MIRA Money app — carefully designed for high growth.

Deploy systematically
30%

Systematically over the next six months — balancing conviction with discipline through any near-term volatility.

Earnings improving · Valuations corrected · Structural growth story intact · Waiting risks a higher entry point
Speak to Your MIRA Wealth Advisor