Global Equity Correction Looms, India Poised to Outperform: S Naren

• S Naren of ICICI Prudential AMC warns of a potential global equity market correction within two years, citing high valuations.
• He believes India is well-positioned to outperform during such a global downturn, despite current high valuations.
• Naren attributes recent market reaction to higher Securities Transaction Tax (STT) on derivatives, which he sees as beneficial for retail investors by curbing speculation.
• The Budget's focus on fiscal discipline, stable macro environment, and long-term investor support is highlighted.
• Government's push for data centers and AI, with tax incentives, is welcomed as it can boost India's tech ecosystem and global standing.

Why It Matters: Global equity markets face correction risk, but India's strong fundamentals position it for potential outperformance.