According to Mint reports, Gaurav Bhandari, CEO of Monarch Networth Capital, believes the Indian stock market correction may be closer to completion than most investors realize. The Nifty has declined over 8% year-to-date from its January 2026 peak of 26,373 to current levels near 24,000, representing a 12-month decline of 4%. However, Bhandari argues this correction has been valuation-driven, not fundamentals-driven, with corporate earnings for the Nifty 500 growing 15.6% in FY26. The index is now trading at approximately 20 times trailing PE, well below its 5-year median of 22 times. Meanwhile, PL Wealth's latest Market Outlook - July 2026 report notes that the Nifty 50 closed at 23,946 at the end of June 2026, registering a 6.5% decline year-on-year, reflecting ongoing market turbulence.
As reported by Mint, the SIP momentum remains robust with ₹31,781 crore inflows in June 2026, marking a three-month high despite challenging market conditions. The number of active SIP accounts has grown to 9.78 crore, with the share of investors below 30 years increasing from 22.6% in 2019 to 38.4% in 2026. Bhandari emphasizes that Indian equity funds have recorded 63 consecutive months of positive inflows through every correction and geopolitical shock. He notes that today's retail investor is fundamentally different from those who entered in 2007, having lived through two major corrections and understanding SIPs and rupee cost averaging. PL Wealth also highlights the resilience of retail participation, noting that India's underlying economic engine is running steady even as near-term challenges create market turbulence.
According to Mint reports, Bhandari identifies PSU banks as his highest conviction call, citing significant improvements in financial metrics. Combined net profits of PSU banks have climbed to nearly ₹1.98 lakh crore in FY26, up from just ₹31,820 crore in FY21, representing a 6 times jump in five years. Gross NPAs have fallen from 9.11% to 1.93%, while credit growth is running at 12-17% across the sector. Despite these strong fundamentals, PSU banks still trade at just 1-1.5 times book value versus private banks at 2.5-3 times. PL Wealth's report notes that credit growth held at 17.7% year-on-year, supporting the banking sector's recovery trajectory.
According to PL Wealth's latest Market Outlook - July 2026 report, India's underlying economic engine is running steady with provisional FY26 GDP of 7.7%, though the Reserve Bank of India now projects a slower growth rate of 6.6% for FY27. Manufacturing and services activity stayed within expansion territory in June 2026 with purchasing managers' index readings of 54.2 and 57.4 respectively. However, the report flags an increase in inflation risk, noting that the central bank lifted its FY27 consumer price index estimate to 5.1%. Foreign exchange reserves stood at $667 billion, covering roughly 10.5 months of imports, while Goods and Services Tax collections for June 2026 rose 13.9% year-on-year to ₹1.95 lakh crore. PL Wealth CEO Inderbir Jolly emphasizes that oil, the rupee and an unpredictable Fed under new leadership are all live risks despite India entering FY27 from a place of comparative strength.
As reported by Mint, Bhandari advocates for disciplined investment approaches during market downturns, emphasizing the importance of continuing SIPs without interruption. He recommends quarterly portfolio reviews to assess thesis integrity rather than frequent switching, which he identifies as a major wealth destroyer. PL Wealth's report expects a range-bound equity market spanning up to six months, shaped by energy prices, currency movements, and corporate earnings surprises, favouring phased entry into large-cap and mid-cap stocks over lump-sum deployment. For the short term, the firm sees the best risk-adjusted returns in short-end instruments spanning three months to three years, while gold is expected to trade within a range of $3,900 to $4,400 per ounce near-term. Bhandari maintains a constructively bullish stance for the second half of 2026, expecting the second half to be meaningfully better than the first half, supported by continued domestic retail participation and improving market sentiment.
