Kotak MF Releases Market Outlook-2025

Hyderabad: Kotak Mahindra Asset Management Company (KMAMC) has unveiled its Market Outlook for 2025, highlighting five key investment themes expected to shape markets. These include a capex cycle revival, driven by central and corporate spending, growth in financial services, supported by narrowing credit-deposit gaps, and technology innovations like AI and blockchain, projected to grow 15x by 2027.

The report also notes signs of rural consumption recovery, urban consumption strength, and increased healthcare spending, with India emerging as a key outsourcing hub. KMAMC sees fixed-income investments as attractive, with expected RBI rate cuts and stable G-Sec yields between 6.25%-6.50%. Nilesh Shah, Managing Director, Kotak Mahindra AMC said: “Market corrections are opportunities to invest in fundamentally strong companies at reasonable valuations. With earnings growth set to drive the market and limited room for P/E expansion, it’s essential to moderate return expectations and focus on sustainable, long-term growth.”