Financials I Non Lending Q2 Preview - Growth Saga Of Capital Markets-Linked Companies Continues: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Equity indices continued to scale new heights in Q2 FY25, with Nifty surpassing 26,000 and Sensex exceeding 85,000. The positive market sentiment and higher trading days contributed to a sustained upward trajectory in key parameters (volumes, orders, client additions, etc.) for capital markets-related companies. Angel One and BSE continue to benefit from the current trends. However, SEBI’s new F&O segment regulations are expected to impact these trends from the end of Q3 FY25..In the AMC sector, July 2024 recorded the highest-ever net equity inflows. Equity AUM rose 59% YoY in Aug-24, driven by an all-time high trajectory of SIP flows (~Rs 235 billion in Aug-24). Growth across all segments, especially equity and money market AUM, led to 20% growth in the total MF AUM (over March-24-Aug-24). The strong growth momentum in equity AUM is expected to boost the performance of Computer Age Management Services and 360ONE..Private life insurance companies posted 18%/9% growth in APE in July-24/Aug-24. For Sep-24, we expect industry growth to remain stable. In VNB margins, we expect steady or improving trends QoQ on account of the rising share of protection and annuity in the mix along with scale benefits..Excluding crop, the general insurance sector witnessed single-digit GWP growth of 6% in July-24 and Aug-24. Growth in the health segment was tepid at 2%/10% YoY in July-24/Aug-24. Further, the motor segment experienced a modest growth of 10%/6% YoY in July-24/Aug-24. NATCAT claims during the quarter are expected to keep the loss ratios elevated. We expect Star Health and ICICIGI to report improvement in profitability on account of operational efficiency..We remain positive on the long-term growth potential of non-lending financials, given their broader themes of financialization and digitization of savings. Our top picks in this space are Angel One, SBI Life, and Star Health. While we maintain a positive view on the capital market sector, the impact of F&O regulations will keep stock performances in check in the short term..Click on the attachment to read the full report:.NBFC Q2 Results Preview - Trends Point At Seasonally Weaker H1: Motilal Oswal.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Financials I Non Lending Q2 Preview - Growth Saga Of Capital Markets-Linked Companies Continues: Motilal Oswal

The brokerage remains positive on the long-term growth potential of non-lending financials, given their broader themes of financialization and digitization of savings.

NDTV Profit

NDTV Profit

Follow Us

DOWNLOAD THE APP

Financials I Non Lending Q2 Preview - Growth Saga Of Capital Markets-Linked Companies Continues: Motilal Oswal

The brokerage remains positive on the long-term growth potential of non-lending financials, given their broader themes of financialization and digitization of savings.

Choose a plan

Follow Us

DOWNLOAD THE APP