Why 360 ONE's Anup Maheshwari is turning more positive on equities

Indian equity markets are approaching the lower end of their trading range, creating a more favourable entry point for investors despite concerns over higher oil prices and interest rates, according to Anup Maheshwari, Co-Founder & Chief Investment Officer at 360 ONE Asset, which manages funds worth over $1.3 billion.

"All the key parameters that lead to earnings growth seem to be positive, and we now have a more stable currency and liquidity in the system as well. With valuations being about 10% below long-term average, our sense is we perhaps will still be in some sort of a range for the markets, but we're probably at the lower end of that range right now, which presents, from our point of view, some sort of upside," he said.

He added that valuations are now around 10% below their long-term average, making him more constructive on equities.

Global risks remain, but earnings outlook is improving

Maheshwari said rising crude oil prices and higher interest rates continue to be the biggest risks for equity markets.

"I think a couple of challenges that the market really is facing are related to oil prices as well as interest rates," he said.

However, he believes the domestic backdrop has improved, with earnings upgrades after the April-June 2026 quarter, stronger credit demand, stable currency and adequate liquidity supporting the market.

According to Maheshwari, India's earnings outlook has also started improving after remaining subdued over the past few years.

"It's getting better on the margin," he said, adding that stronger earnings will ultimately determine whether foreign investors increase allocations to India.

While acknowledging that taxation and other policy issues remain irritants for overseas investors, he said sustained earnings growth would be the key driver of capital inflows.

Stay invested with a long-term view

Maheshwari advised retail investors not to react to short-term market volatility and instead focus on long-term wealth creation.

Equities is always a patience game.

ANUP MAHESHWARI, CO-FOUNDER & CHIEF INVESTMENT OFFICER AT 360 ONE ASSET

 

He noted that investors should ideally have a minimum five-year investment horizon, as shorter periods tend to reflect market volatility rather than business fundamentals.

"The last thing you should do is really respond negatively at a time when equities have actually already underperformed for a while," he said.

Focus on growth, not market capitalisation

Maheshwari said investors should avoid dividing the market strictly into largecap, midcap and smallcap buckets.

Instead, he prefers identifying companies and sectors that continue to deliver earnings growth.

"We're looking at companies where and sectors where there's growth, where there's scale, and the market's willing to reward that," he said.

He added that several structural themes—including manufacturing and companies supplying to the artificial intelligence ecosystem—are currently creating more opportunities in the midcap and smallcap universe, although investment decisions remain stock-specific.

HNIs remain diversified despite market volatility

Responding to concerns over recent volatility in broader markets, Maheshwari said high-net-worth investors (HNIs) have generally remained disciplined because their portfolios are diversified across multiple asset classes.

According to him, HNI portfolios typically include domestic and global equities, REITs, InvITs, gold and alternative investments, reducing the impact of short-term market swings.

He said any recent stress in the market appeared to be concentrated in leveraged MTF (Margin Trading Facility) positions rather than among diversified HNI portfolios.

For the full interview, watch the accompanying video



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