India's one-year returns turn positive, lag global peers: Morningstar

One-year returns for domestic equities have turned positive, thanks to the sharp rebound in stock prices from coronavirus-triggered lows.
 

However, India’s gains have lagged most global peers, with one-year returns of just 2.8 per cent. In comparison, the developed and emerging market (EM) indices have gained 5.8 per cent and 4.6 per cent, respectively, the data compiled by Morningstar shows.

While the past three-month returns for the Indian markets have been strong, the one-year underperformance is on account of relatively weak GDP growth forecasts, said experts. Following the sharp run-up, returns are expected to plateau.

“The sharp rally has toned