Risk factor

Poor returns from equity markets may be prolonged

The benchmark indices have recovered about 40 per cent from the recent lows, but longer-term returns from the Indian stock market continue to remain subdued. As an analysis of different asset classes published in this newspaper on Monday showed, the Nifty50 Total Returns Index, which includes dividends, went up by an annual rate of 9.3 per cent over the past 10 years. Returns over the past five years were even lower at 7 per cent, down compared to other avenues such as fixed deposits, public provident fund, 10-year government bonds and gold. As a result, most equity mutual funds have