Diwali 2020 To Be Behtar For Equity Investors!

With the global economy slowing down and the Indian economy struggling to grow at its potential, the journey for equity investors looks uncertain. Yogesh Supekar explains why, in spite of the struggle on economy front, Sensex can inch higher by next Diwali. Also included top Diwali picks for 2020 recommended by the DSIJ research team. Read on…

- Yogesh Supekar

Diwali Festival, known as the festival of wealth and auspicious time, always brings some excitement into the stock markets. Every Diwali, investors take stock of how the markets fared from previous Diwali and how it may perform till next Diwali.

The year gone by, did come as a surprise for a majority of investors as the broader markets underperformed the major benchmark indices, such as Sensex and Nifty, continuing its trend from the previous year once again. Investor stand disappointed as some recovery and outperformance was expected from mid-caps and small caps after a dismal performance in the previous year (2017-2018).

The table below highlights that the number of stocks that generated positive returns fell from 476 to 367. This is even though FIIs have been net investors to the tune of Rs. 35,991.65 crores and DIIs have purchased stocks worth Rs. 66,361.63 crores on a net basis. The number of stocks that more than doubled during this period stood at 39 when compared to 104 stocks that more than doubled in 2017 -October to 2018-October.

The Year Gone By…. Diwali 18 to Diwali 19