Markets at a Crossroads: Valuations, IPOs and the Next Cycle | Capital Compass

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Published27 Apr 2026, 07:26 PM IST

Sponsored by Adfactors PR Are India’s capital markets entering a phase of correction or consolidation? In this episode of Capital Compass, Prashant Jain, Co-founder & CIO, 3P Investment Managers, breaks down where we are in the market cycle as we head into 2026—and what investors may be getting wrong. From the surge in small and midcaps to the reality behind IPO returns, this conversation unpacks the gap between expectations and fundamentals. Jain explains why valuations—not narratives—will determine outcomes, and why investors need to reset return expectations in a maturing market. The discussion also explores: Why small and midcaps may not deliver broad-based returns The real outlook for IPOs amid buoyant markets Where value lies today across sectors How domestic flows are reshaping market dynamics India’s structural strength despite global volatility As narratives shift from momentum to fundamentals, the question is clear: are markets priced for reality—or still chasing optimism? Watch the full episode for a grounded, long-term view of India’s capital markets.