Indian Equities: A Balasubramanian Sees Buying Opportunities Amid Improving Macro Signals

A. Balasubramanian, Managing Director and CEO of Aditya Birla Sun Life Asset Management Company (ABSL AMC), has stated that Indian equities have reached reasonable valuation levels, presenting potential buying opportunities for long-term investors.

Speaking on April 10, 2026, Balasubramanian noted that a prolonged phase of correction in the domestic market has brought valuations to a more attractive state. He specifically pointed out that the Nifty is currently trading below its long-term average price-to-earnings (PE) multiples.

Geopolitical Outlook and Market Stability

Despite ongoing geopolitical tensions and unpredictable global leadership cues, Balasubramanian suggested that the period of maximum uncertainty may be concluding in the short term.

So, the way events are panning out, I think that itself tells that probably the worst should come to an end at least in the near term, short term I am saying. Though earlier the uncertainty was growing beyond our imaginations, at least some semblance is coming and hopefully we should expect in the next two-three weeks some agreement being reached between these two large nations and therefore bring some kind of uncertainty to a normalcy, then we will have to see some kind of stabilisations.

A. Balasubramanian, MD & CEO, ABSL AMC

While he indicated that a full resolution regarding global trade dynamics and oil prices could take several months to normalize, he noted that the market may have already factored in much of the negative news.

Macroeconomic Signals and Investment Strategy

The outlook for Indian equities is supported by improving macro signals, including a revival in deposit and credit growth. Balasubramanian indicated that these factors, combined with reasonable valuations, create an environment suitable for long-term investment.

He observed that periods of market correction often serve as favourable entry points for lump sum investments, provided that investors maintain discipline.

Long-term Growth Projections

In a separate assessment reported on September 14, 2025, Balasubramanian projected that Indian equities could reach a new lifetime high by fiscal year 2026. He attributed this potential growth to strong GDP growth, resilient demand, and various sectoral tailwinds.

He explained that the market had been in a consolidation phase, partly due to tariff uncertainty. However, he noted that the absorption capacity of the Indian market remains strong despite increases in equity supply.

Balasubramanian highlighted that many private equity exits had already occurred with significant profits. He suggested that this success is likely to draw those investors back, potentially increasing emerging market allocations to India in the second half of the period, which could drive markets toward new highs by March or prior to the Budget.

As of the June quarter mentioned in 2025, Aditya Birla Sun Life AMC managed total assets under management (AUM) of approximately ₹4 trillion, with equity assets accounting for ₹1.8 trillion of that total.