The journey of Nifty from 1000 to 10000 is a success story that no investor would want to miss. Traversing through the policy ditches, global road bumps, and rough economic weather, Nifty has completed 21 years of serving investors successfully while breaching numerous landmarks right through its journey. Let’s see how the Nifty story has unfolded until date and check whether you’re geared up for Nifty 20000.
Launched in 1996 with a base value of 1000, financial markets and investors ridiculed the Nifty index for starters. Little did the markets or the investors know that Nifty has started its journey to embark upon many huge milestones in times to come.
The index doubled investors’ money by touching the 2000-mark for the first time in eight years in 2004, a slow but steady start with greater things in store.
In 2006, Nifty started showing its true potential as it touched 3000 for the first time in January 2006. The index added 1000 points much faster than before.
The Indian stock markets saw a historic run in 2006. Thus, it would be remembered as one of the best years in the history of the Indian stock markets. With Nifty delivering around 40% returns that year, breaching landmark levels of 3000 and 4000, the index started taking rapid strides.
Just a year after the index breached the 3000 and 4000 levels, Nifty crossed another landmark of 5000 in 2007 for the first time on the back of aggressive buying from foreign and domestic funds.
Like in 2006, Nifty wasn’t satisfied with breaching just the 5000 in 2007. It carried on its rampant progress by also breaching the landmark level of 6000 in 2007 for the first time, adding another feather to its cap. Moreover, in 2007 the Nifty rallied as much as 55%, which helped it breach multiple landmarks.
Nifty touched the 7000-mark in May 2014. After losing a little bit of momentum due to global headwinds coupled with a phase of policy paralysis, Nifty regained momentum in September 2013 when BJP announced Narendra Modi as its PM candidate, who eventually ended up winning the Lok Sabha elections with a massive majority, a move that was welcomed by the markets with open arms. The Indian stock markets started gaining momentum this point onwards.
Post Narendra Modi becoming the PM, Nifty breached the 8000-mark very quickly in September 2014 on hopes that the new PM will ring in quick economic reforms, propelling the Indian economy forward. Thus, the index was back to its rapid winning ways.
The Indian stock market rally that began in September 2013 extended into the first half of 2015, which saw Nifty breach another landmark level of 9000 in March 2015, largely on the back of continued buying by foreign investors.
Tuesday, 25th July 2017, will be remembered as historic day when India’s benchmark index, Nifty, breached the coveted landmark of 10000. Nifty crossed the 10000-mark for the first time owing largely to factors such as smooth initial rollout of GST, good monsoon and stronger earnings recovery.
Investors who have been with Nifty right through its journey from 1996 until date would be clear beneficiaries through 10-fold returns on their initial investment. Moreover, even those investors who would have entered Nifty in late-2013 would have benefitted as well. The bottom line is that returns from stock market investments are subject to a long-term horizon. Therefore, the longer you stay invested, the more you gain by recovering all the short-term losses.
When Nifty began its journey in 1996 at a base value of 1000 no one would have given it a chance to breach the coveted 10000-mark. That said, the historic journey of the index suggests that this is just the beginning, and the best is yet to come. The Indian government’s emphasis on the infrastructure sector, Make In India initiative, path-defining GST implementation, and growing foreign investments, all make a very good concoction for Nifty’s next journey towards the 20000-mark in the time to come.
Are you geared up for Nifty 20,000? If not, don’t worry, simplygive us a missed call on 08010968308 or write us at firstname.lastname@example.org. We will help you plan your investments frugally and optimally, enabling you to take complete advantage of every landmark Nifty breaches from 10000 in the lead up to Nifty 20,000.
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