Equity valuations are no longer undemanding: Harshad Patwardhan

Normalisation of monetary policy in the US is being done because the US economy has been doing well with unemployment rates heading down

Markets may deliver higher-than-historical long-term average returns over the next few years, says Harshad Patwardhan, chief investment officer-equities, Edelweiss Asset Management. He tells Ashley Coutinho that earnings growth might surprise the Street going forward as the economy accelerates from its current nominal levels. Edited excerpts: 

What is your outlook for the market? 

Over the next few years, markets might deliver higher-than-historical long-term average returns. This will likely be driven by earnings growth, which might surprise the Street as the economy accelerates from its current low nominal levels. We will not like to hazard a guess about the short term as markets tend