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21-08-2024 12:26 PM | Source: IANS
Indian stock market outperformed Warren Buffett's company in last 25 years

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The Indian stock market outperformed the world's richest investor Warren Buffett's company Berkshire Hathaway in terms of return in the last 25 years, an AMC company report said.
 
Helios, an India focused Singapore-based asset management company, said in a report that the Nifty 500 index has given 12.56 per cent annual return as compared to 9.52 per cent by Berkshire Hathaway and that, too, in US Dollar terms between July 31, 1999 to July 31, 2024.

The report further said, "During this period, India also had to face many challenges, which included the US sanctions imposed on India after the May 1998 nuclear bomb test and the Kargil war in 1999. The Indian markets also showed resilience during the coalition governments."

In 2004, due to the sudden change of government, the market fell by 17 per cent and during the Global Financial Crisis of 2008, a sharp decline was also seen in the market.

Between 2011 and 2015, the market also faced challenges due to corruption and drought.

The market has been able to successfully ride out these shocks and deliver positive returns to investors.

The report also added that despite many challenges and volatility, India has proved that it is a long-term outperformer.

The performance of the Indian stock market has also been quite good in the current year.

Since the beginning of 2024 till now (August 20), Sensex and Nifty surged 11.66 per cent and 13.60 per cent respectively.

There are many reasons for the sharp rise in the Indian stock market, experts said, "a high growth rate, stable government, reduction in inflation, financial discipline by the government."

India's GDP growth rate was 8.2 per cent in FY 2023-24. It is expected to grow at the rate of 7.2 per cent in the current financial year.