Samvat 2083: Kotak Mutual Fund expects moderate equity returns, favours quality stocks

The Kotak Mahindra Mutual Fund has released its annual Muhurat investment outlook for Samvat 2083, predicting moderate equity returns amid global uncertainties and volatile market conditions. Investors are advised to focus on asset allocation and quality stocks rather than momentum-driven investments. The fund house recommends a long-term investment horizon and disciplined asset allocation to navigate volatility stemming from geopolitical tensions, oil price fluctuations, and central banks' hawkish stance.

Despite these challenges, India's economic resilience is highlighted, with projected GDP growth of 7.1% for FY27. Domestic demand continues to support corporate earnings growth, and high-frequency indicators suggest broad-based economic recovery. The fund identifies Kotak Focused Fund, Multi Asset Allocation Fund, and Multi Cap Fund as preferred schemes for diversified equity exposure, while Kotak Manufacture in India Fund and Kotak Banking and Financial Services Fund are highlighted for thematic investments.

For conservative investors, the Equity Savings Fund is recommended. The fund cautions against expecting exceptionally high returns and emphasizes moderate returns as a more realistic expectation for the broader equity market.