According to Nishant Srivastava of Torus Wealth, this year will see success in the technology, healthcare, automotive, renewable energy, and infrastructure sectors

According to Nishant Srivastava, CEO of Mass Affluent Business at Torus Wealth, investors should seek the advice of a financial expert while they work towards their long-term financial objectives.

Srivastava gives young investors some advice in an email exchange with MintGenie: continue to make regular investments to build significant wealth. Along with sharing his confidence, he provides specific justifications for his belief that benchmark indexes like the Nifty50 and BSE Sensex will continue to expand in the future. He sees potential for expansion in the healthcare, technology, automotive, renewable energy, defence, and infrastructure sectors.

He predicts a 15–25% rise in the Indian IT industry by 2025. In addition, he anticipates deposit rates falling in the wake of the RBI’s anticipated reduction in the repo rate by year’s end.

Revised Excerpts:
Which financial tip would you most want to impart to aspiring investors?
“Stay long in the game; don’t be in a hurry to make quick money,” is what I would advise. Instant gratification is a major problem for today’s youth, and they seek it out in the financial markets as well. If you start investing in the markets early and maintain consistency, you may profit from their long-term return multiplier.

Which is a superior long-term wealth development strategy for individual investors—hiring a financial advisor or doing it yourself using a do-it-yourself approach to portfolio curation?
The necessity for a financial expert to support you on your path is urgent. It is inevitable that false information and misrepresentation of return and risk statistics will occur given the expanding business and volume of goods. You can only be guided through this trip by a financial counsellor who is knowledgeable, diligent, consistent, and sensible.

There is a proverb that states that while ascending a mountain, it is preferable to trust a guide rather than consult a map.

Regarding financial markets, with benchmark indexes hitting record highs every other day, what do you expect?
Experts are attributing the current spike in the stock market to a combination of causes. Optimism has been fueled by speculation about a probable rate decrease by the US Federal Reserve and the supply of market liquidity. In addition, optimistic feelings in international markets combined with the strong performance in 2024’s fourth quarter have increased investor confidence even further.

To further contribute to the market’s optimistic attitude is the expectation of a recovery in the Chinese economy. The momentum is also being fueled by India’s promising economic prospects and a sharp increase in the involvement of ordinary investors.

Experts surmise that even in the event of foreign capital outflows brought on by limited or delayed rate changes by the Federal Reserve, the growing power of individual investors may serve as a buffer against future downturns.

Analysts predict that the extraordinary surge in the Indian stock market will continue in light of these considerations. They expect the market’s upward trend to continue, bolstered by the tenacity of individual investors and the good economic climate.

Which industries are most likely to prosper in the next fiscal year?
This year, the automotive, renewable energy, healthcare, military, and infrastructure industries are all expected to do well. In the next few years, it is anticipated that the focus on artificial intelligence and environmentally friendly technologies, especially when combined with renewable energy, will propel substantial development in these fields.

Furthermore, the continued emphasis on infrastructure development and higher government expenditures are projected to benefit industries like infrastructure and the military.

What hopes do you have for the expansion of the Indian IT industry in the next fiscal year, 2025?
It is anticipated that the Indian IT industry will increase by 8–10% in 2024 and by 15–20% in 2025. In 2024, the market is expected to generate $26.45 billion in sales.

What immediate effects could rate-sensitive industries like real estate, banking, and auto expect if the RBI lowers the repo rate at the next MPC meeting?
Based on past data, banks and automakers react differently when the Reserve Bank of India (RBI) announces a reduction in the policy rate with regards to the quick adjustment of lending interest rates. In contrast to a sudden cut in lending rates, banks usually start the process by cutting interest rates on fixed deposits (FDs).

This first action prepares the ground for a later, gradually decreasing loan interest rate. In addition to providing banks with the flexibility to control their interest rate spread and maintain stability and profitability, this sequential adjustment technique also increases demand for loans within the boundaries of the nation’s economy.