According to Nilesh Shah of Envision, these sectors could become market leaders in the next decade

Nilesh Shah, Managing Director and CEO of Envision Capital, sees significant growth opportunities in technology-driven industries such as e-commerce and fintech over the next decade.

He emphasised that every 5-10 years, there is a change in the market leadership position – from private banks and leading non-banking financial companies (NBFCs) to public sector banks (PSUs).

He is deeply convinced that the next 5–10 years will belong to fintech companies.

“In addition to that, some of the peripheral financial sectors, not just fintech but also outside of banks or some insurance companies, some asset management companies (AMCs), financial product distributors, I think that space is now becoming significantly overweighted for us,” he said.

In his opinion, over the next 10 years these companies will record hypergrowth at the level of 25–30% year-on-year.

He believes the IT sector has seen its best days. While Q1FY25 earnings were slightly above expectations, they weren’t strong enough. “These are just tactical bets. I don’t think you should be taking long-term strategic bets here,” Shah said.

Read also: One risk for the Indian market is a disappointment in earnings growth: Chris Wood

Discussing his expectations for the budget, he said that it would be the first budget of the third term of the government. It will be crucial to see whether it will be continued or will include significant new changes.

He believes infrastructure and social spending will be the two main areas of focus for the budget.

Read also: India’s bull market shows no signs of ending, says Jefferies’ Chris Wood

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