Nifty may underperform broader market as half its constituents lag GDP growth: Sunil Singhania
CNBC-TV18 5 hrs ago·7 Nov 2026, 11:29 am
Abakkus Asset Manager's Sunil Singhania has warned that the Nifty 50 index may underperform the broader market. He suggests that roughly half of the index's constituents are unlikely to match India's GDP growth rate. This divergence occurs because the index is heavily weighted towards sectors that are currently facing structural headwinds.
For investors, this signals that simply holding the Nifty 50 may not yield the same returns as the wider market. It highlights the importance of stock selection, as opportunities are increasingly shifting towards sectors outside the traditional index basket. Investors should be cautious about assuming that broad market growth will automatically lift the Nifty 50.
Moving forward, market participants should monitor the performance of mid-cap and small-cap stocks. The key will be to identify which specific sectors are driving the broader rally and determine if the lagging Nifty 50 stocks can recover. Tracking sectoral flows and corporate earnings will be crucial for navigating this potential divergence.
Excerpt from CNBC-TV18
Published On Nov 7, 2026 | 16:59 IST Last Updated On Nov 7, 2026 | 16:59 IST Abakkus Asset Manager's Sunil Singhania expects Nifty to underperform the broader market, with 40-50% of its constituents unlikely to match India's GDP growth amid shifting sectoral opportunities. India's benchmark Nifty index could…Read the original at CNBC-TV18
Key takeaways
- Category: Economy.
- AI reads the tone as negative (potentially bearish) for the stock.
- Flagged as a high-impact, market-moving story.
Why it matters
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