Why Defence Stocks Could Outperform In The Next Decade

Defence is becoming one of the most attractive themes for long-term wealth creation in India. In this market conversation, Sunil Shah, Fund Manager at SRE PMS, explains why patient investors are increasingly shifting focus from IT and banking towards defence as a powerful compounding story. He highlights Bharat Electronics (BEL) as a large-cap anchor with a proven 10X performance in the past five years, yet still offering strong growth potential. Shah also discusses Apollo Micro Systems, a niche private-sector supplier poised to benefit as order books of BEL, BDL, and shipyards filter down to smaller players. For investors who value steady compounding over short-term momentum, defence stocks like BEL and Apollo Micro could play a crucial role in long-term wealth creation.