India valuation not stretched on 'equity risk premium' metric: BlackRock

According to BlackRock, India’s equity market is not overvalued when assessed using the equity risk premium metric. BlackRock has indicated that despite concerns about rising stock prices, India’s market remains relatively attractive for investors. The equity risk premium is a measure that compares the return on equities with the risk-free rate, and BlackRock’s assessment suggests that Indian equities continue to offer good value in the global context. The firm’s outlook suggests that India’s economic growth prospects and market fundamentals provide a strong foundation for investment, despite global market volatility.