ICICI Prudential Asset Management Company follows a proprietary valuation framework to assess the attractiveness of equity markets by integrating a combination of macroeconomic and market-specific indicators.

They analyse key metrics include the Price-to-Earnings (PE) ratio, Price-to- Book (PB) ratio, and Market Capitalization-to-GDP ratio, which together provide a comprehensive view of how expensive or inexpensive the market is relative to its historical norms.

By synthesizing these inputs, the framework categorizes the market into distinct valuation zones—ranging from very attractive or attractive to neutral, expensive, and very expensive.

This is a holistic way to assess market valuations—not just relying on PE ratios, but also considering multiple micro and macro factors to get a more accurate picture.`

Sankaren Naren, Chief Investment Officer at ICICI Prudential Asset Management Company, is known for his conservative and disciplined investment approach, with a strong emphasis on asset allocation across
equities, debt, gold, real estate, and other asset classes.

Historically, he has consistently advocated a balanced, multi-asset strategy rather than taking aggressive directional bets on equities. However, for the first time in nearly three years, he has expressed a clear preference towards increasing exposure to equities.

It’s not only ICICI Prudential; multiple brokerage firms and asset management companies have also highlighted that valuations are becoming increasingly attractive at current levels.

Quant Mutual Fund: The March 2026 market correction, Quant described the situation as "the biggest buying opportunity since Covid," urging investors to rebalance portfolios aggressively.

BlackRock Investment Institute (global) explicitly calls India an attractive market: it is positioned at the “intersection of mega forces” (growth, demographics, capex, etc.) and India is one of their preferred emerging equities.

Such opportunities don’t come often, typically once in 4–5 years. While we cannot predict how the next 10 days will unfold, especially with ongoing geopolitical uncertainties, but the current valuation comfort provides a strong case for long-term investing. Investors with a disciplined & long horizon are well-positioned to benefit from these levels.