Valuations shoot up despite note ban, GST and other factors in last decade

Massive polarisation as only a few stocks outperform handsomely

Indian markets witnessed turbulence in the past decade owing to certain major events and structural reforms such as demonetisation, the implementation of goods and services tax (GST), the collapse of some big businesses, and so on. It’s no wonder then that the S&P BSE Sensex and the Nifty50 grew at a 9 per cent compound annual growth rate (CAGR), a mediocre return given that inflation was high in the first five years of the decade. 
 
However, the indices representing mid- and small-cap stocks delivered between 5 and 8 per cent growth during this period. And though the markets have