Market Momentum Overview
The Indian stock market demonstrated resilience, with the Nifty closing up 10% in 2025, marking a decade of continuous gains. The final session of 2025 saw
the Sensex rise by 546 points, while the Nifty exceeded 26,100. This positive trend underscores the sustained growth in the Indian economy. However, the report also acknowledges the potential impact of artificial intelligence (AI) on jobs, with predictions of significant job market shifts in 2026. Moreover, the report highlights the anticipation surrounding the primary market in 2026, which is expected to be a major test for India. Record numbers of IPOs have placed India at the top globally, with the primary market aiming for Rs 4 lakh crore in 2026.
Real Estate Dynamics
The real estate sector witnessed notable activity. In the first half of 2025, premium housing sales surged by 85%, reflecting robust demand. Furthermore, the Indian REIT (Real Estate Investment Trust) market reached Rs 2.3 lakh crore, surpassing Hong Kong in just six years. This growth is fueled by infrastructure developments, as well as the anticipation of a retail boom that is projected to attract $3.5 billion in investment over the next three years. The report notes a 55% rise in branded homes over the past five years. Also, India's net office leasing in top 7 cities hit an all-time high of 55 million sq ft in 2025.
Taxation and Finances
Taxpayers faced important deadlines, including December 31 for linking PAN with Aadhaar and filing belated ITRs. The revised ITR deadline for AY 2025-26 emphasized the importance of timely filing. The new Income Tax Act 2025 is scheduled to be effective from April 1, introducing potential changes. The report also highlights the significance of tax planning for freelancers and gig workers in preparation for 2026. Furthermore, some individuals found themselves facing income tax refund delays, with the report offering guidance on how to address these situations. The government initiated discussions with RBI and PSBs regarding PSU bank mergers, indicating potential shifts in the banking sector in 2026.
Banking Sector Insights
The banking sector showed strength, with double-digit growth and falling NPAs (Non-Performing Assets) in 2024–25, as revealed by RBI data. Home loan rate cuts contributed to enhanced housing affordability in India in 2025. Furthermore, Union Bank of India reduced home, vehicle, and personal loan rates. A significant trend in personal loan growth was observed, with a 35% increase in 2025, primarily driven by small-ticket loans. Also, a concerning issue emerged with a Rs 2,434 crore borrowing fraud linked to former SREI promoters, flagged by PNB (Punjab National Bank).
Investment Strategies
The report provides several perspectives on investment opportunities. The Post Office FD offers 7.5% interest, illustrating growth potential over time. It highlights the importance of gold as an investment, detailing its contribution to wealth creation. Silver prices were subject to fluctuations; in the last trading session of 2025, silver prices fell sharply by Rs 15,000. Despite this, the report indicates that the long-term price outlook remains bullish. Furthermore, some analysts pointed out that a single-day crash of 20% might come for gold and silver. The report also highlights the potential for defence stocks, with some experiencing significant YTD (Year-to-Date) gains.
IPO Market Dynamics
The IPO market continued to be active. ICICI Prudential AMC IPO listed at Rs 2,600 per share, at a 20% premium. Other IPOs, such as Zepto, KSH International, Shyam Dhani Industries, and Apollo Techno Industries, were also highlighted, with their subscription rates and GMP (Grey Market Premium) discussed. The Zepto IPO aimed to raise around Rs 11,000 crore. Additionally, E to E Transportation Infra IPO saw a remarkable subscription of 123.77x, and an increase in GMP, which indicates high interest.
Broader Economic Factors
Industrial output hit a two-year high of 6.7% in November 2025 due to a manufacturing boost and GST cuts. The report also touches upon the impact of excise duty hikes on various products, including cigarettes, with prices expected to rise from February 1. Furthermore, the report discussed India’s GST collection which rose 6.1% YoY to Rs 1.74 lakh crore in December 2025.
