equity market and anaemic underlying economic growth is getting sharper by the day. While profits of most firms have been severely impacted this year, stock market indexes are near all-time highs.
In fact, with the BSE Sensex at record highs of 47,000, talk of profit-booking is now commonplace.Indeed, this is also reflected in the increasing levels of redemptions from Indian mutual funds.Also Read | Inside the rumble in India’s coding jungleBut a number of market experts say while Indian equities are a dearer bet, they are not in bubble territory. “Based on headline valuation parameters such as the price-earnings multiple and implied equity risk premium, Indian equities are no longer cheap.