In a notable achievement, India's stock market has surpassed Hong Kong's market for the first time.
The combined value of shares listed on Indian exchanges has reached $4.33 trillion, surpassing Hong Kong's $4.29 trillion, making India the fourth-largest equity market globally.
As reported by the Times of India, the surge in equities is attributed to a rapidly expanding retail investor base and strong corporate earnings.
The report also noted that India has positioned itself as an alternative to China, drawing global investors and companies with its consumption-driven economy.
This achievement coincides with a historic downturn in Hong Kong, where influential Chinese firms are listed.
It's also important to note that the total market value of Chinese and Hong Kong stocks has plummeted by over $6 trillion since their peaks in 2021.
Despite the challenges faced by China, some strategists anticipate a turnaround.
UBS Group AG sees Chinese stocks outperforming Indian peers in 2024, with significant upside potential due to battered valuations.
However, Bernstein expects the Chinese market to recover and recommends taking profits from Indian stocks, citing their perceived expensive nature.
In 2023, more than $21 billion was poured into Indian shares, contributing to eight consecutive years of gains.
This positive momentum has positioned India as a preferred long-term investment opportunity.
Also, Goldman Sachs Group Inc strategists, in a note from 16 January had highlighted a clear consensus that India presents the best long-term investment opportunity.
Nayan Dwivedi is Staff Writer at Swarajya.
An appeal from Swarajya
At Swarajya, we rely on our readers' support through subscriptions to sustain our media platform. Unlike larger conglomerates, we are unable to relentlessly chase advertising money — our model is largely built on your patronage.
Your support has never been more crucial. We work tirelessly to deliver 10-15 high-quality articles daily, ensuring you receive insightful content from 7 AM to 10 PM.
If you believe India's story has to be articulated in a way it has never been done before without shrugging it off, become a patron (or) subscribe now for ₹̶2̶4̶0̶0̶ ₹1999 and get 12 print issues, unlimited digital access for 1 year, a special India that is Bharat T-shirt (Offer ends soon).
We are counting on you!