NIFTY 2026: Financials, IT & Insurance To Drive Next Phase Of Returns

Sharing his outlook on the NIFTY 2026, George Thomas, Fund Manager at Quantum AMC, says bottom-up fundamentals point to healthy upside over the next two years. He remains optimistic on financials, where rate cuts that hurt banks earlier could turn into a tailwind as deposit repricing improves margins amid a benign credit environment. Insurance is another key pocket, with pricing issues largely behind and earnings visibility improving. IT services, after years of muted global tech spending, could benefit from a technology refresh cycle and enterprise adoption of new platforms. While valuations are no longer cheap, Thomas believes they remain reasonable, setting the stage for returns that could outperform historical averages over the next two years.