Motilal Oswal’s Raamdeo Agrawal sees Sensex at 1,60,000 by 2029, seeks minister for capital markets

Motilal Oswal Financial Services Chairman Raamdeo Agrawal expects the Sensex to touch 1,60,000 points by 2029, and sought a minister for capital markets, CNBC-TV18 reported.

At 1:56 pm IST on Thursday, the Sensex was at 80,093.45, up 106.66 points, or 0.13%, after opening at 80, 321.79. Earlier, it touched a 52-week high of 80,392.64 in intra-day trade.

“Sensex has doubled every 5 years, target 1,60,000 for Sensex by 2029. Market can double in the next 5 years with a 15% CAGR, this is the happiest moment of my life,” he told CNBC-TV18 in an interview.

The Benchmark S&P BSE 30 index opened above 80,000 mark on Thursday, it had briefly crossed the same on Wednesday too. The Sensex had crossed the 70,000 mark on December 11,2023. The gain from 70k to 80k has been achieved in the shortest span of time. The reasons for gain are being attributed to monsoons, softening of US bond yields, and positive FPI flows in June .

On the liquidity rush he said, “it is not a worry in the market, it is a happy situation. Over half a billion people should invest in the capital market, this leads to inclusive growth of the market. Ultimate form of distribution of risk.” Liquidity rush will also distribute the risks and improve the quality of equity, the Motilal Oswal top honcho said.

Agrawal said the government should have one state cabinet minister for capital markets with an office in Mumbai, even though the SEBI is doing its job.

Agrawal also said in four years, “we (the Indian capital markets) might become a 10 trillion market.”

On the expectations of the capital market from the union budget, he said the government should not change anything. “Capital markets should be made attractive to the masses. Masses should not go back to real estate or gold investments,” he said.

“The current market boom is bigger than the 1992 boom, only difference is SEBI was not there in 1992,” Agarwal said. The government should tax people with income above 12 lakh, increasing consumption.

Agarwal said it is surprising that with the near 8% GDP growth, demand has not grown substantially, consumption is less, and the FMCG brands including Nestle , Marico etc are not doing well.