The sharp swings in the market are boosting trading activity in some pockets but it is also creating pressure in others like asset management and insurance. The international brokerage house, Jefferies, in its latest report, has shared its outlook on the select stocks, highlighting where it sees opportunities and where caution may still be needed.
The brokerage house view spans across exchanges, asset managers, insurers, and wealth platforms.
Let’s take a look –
Preferred bets: Where Jefferies is placing optimism
The brokerage house Jefferies is focussing on companies that either gain from higher market activity or have relatively stable earnings models.
The brokerage house noted, “Within our coverage, we prefer Groww (volatility play and TAM expansion), Star Health (defensive and loss ratio turnaround), SBI Life (lower regulatory risks and distribution moats), Nuvama (wealth management ramping up and attractive valuations) and ICICI AMC (lower SMID exposure and alternate opportunity).”
In simple terms, Jefferies is favouring platforms like Groww and exchanges, while also backing insurers and wealth managers.
Stock-specific calls: Ratings and upside potential
As per the Jefferies report, several stocks in the capital markets ecosystem have been assigned a “Buy” rating, indicating expected upside from current levels.
Wealth and financial services player 360 One has been given ‘Buy’ rating with a target price of Rs 1,190, implying a 16% upside, while Groww is seen reaching Rs 210, suggesting an 8% upside.
BSE also features in the ‘Buy’ list with a target of Rs 3,330, indicating a 9% upside.
However, CDSL has been assigned a ‘Hold’ rating target price of Rs 1,310.
In the asset management space, CAMS carries a ‘Buy’ rating with a target of Rs 820.
In the insurance and financial space, Go Digit has a ‘Buy’ rating with a target price of Rs 385, while HDFC AMC has a ‘Buy’ rating with a target price of Rs 2,960.
HDFC Life has a ‘Buy’ rating with a target price of Rs 725, while ICICI Lombard has a ‘Buy’ rating with a target of Rs 2,185.
ICICI Prudential AMC has a ‘Buy’ rating with a target price of Rs 3,600, but this implies a 5% downside.
ICICI Prudential Life Insurance has a ‘Buy’ rating with a target price of Rs 655, while Max Financial Services also carries a ‘Buy’ rating with a target of Rs 2,125.
Nippon Life India Asset Management (NAM) has been assigned a ‘Buy’ rating with a target price of Rs 1,040.
Niva Bupa, however, has been given a ‘Hold’ rating with a target price of Rs 78.
Nuvama Wealth Management has a ‘Buy’ rating with a target price of Rs 1,600, while PB Fintech has a ‘Buy’ rating with a target of Rs 1,800.
| Stock Name | Rating | Target Price | Upside/Downside |
| 360 One | Buy | Rs 1,190 | 16% |
| Groww | Buy | Rs 210 | 8% |
| BSE | Buy | Rs 3,330 | 9% |
| CAMS | Buy | Rs 820 | – |
| Go Digit | Buy | Rs 385 | – |
| HDFC AMC | Buy | Rs 2,960 | – |
| HDFC Life | Buy | Rs 725 | – |
| ICICI Lombard | Buy | Rs 2,185 | – |
| ICICI Prudential AMC | Buy | Rs 3,600 | -5% |
| ICICI Prudential Life | Buy | Rs 655 | – |
| Max Financial Services | Buy | Rs 2,125 | – |
| NAMS | Buy | Rs 1,040 | – |
| Nuvama Wealth | Buy | Rs 1,600 | – |
| PB Fintech | Buy | Rs 1,800 | – |
Jefferies on impact of volatility: A double-edged sword
One of the biggest factors highlighted in the Jefferies report is the impact of market volatility.
According to Jefferies, “BSE & Groww gain from volatility,” as higher trading volumes typically lead to stronger transaction-based revenues.
At the same time, not every segment benefits. The report cautions that “lower IPOs/retail trades impact CDSL,” pointing to a slowdown in new listings and investor participation as a potential drag.
Jefferies on Insurance and asset managers: Growth vs pressure
In the insurance sector space, the Jefferies report noted, “March 2026 results should see: Life insurance Annualised Premium Equivalent growth slow, with LIC’s margin expanding.”
However, the general insurance segment appears relatively stronger. “GIs & SAHIs to see better growth. Star to see loss ratio improve,” the report said. Loss ratio refers to the proportion of claims paid out compared to premiums earned, and an improvement here indicates better profitability.
“We expect Star Health’s Q4FY26 IFRS loss ratio to improve by 120bps y-y due to price hikes, mix shift and new products,” Jefferies noted in its report.
For asset management companies, the concern lies in market-linked income. “AMCs’ Q4FY26 PAT growth will be adversely impacted by lower other income,” Jefferies noted.
In its report, the brokerage house also noted that Registrar and Transfer Agents (RTAs) are likely to see Average Assets Under Management (AAUM) growth of 18-20% year-on-year. However, it expects KFIN Technologies to face higher yield compression compared to CAMS, mainly due to the rising share of exchange-traded funds (ETFs) at its key AMC partner, Nippon Life India Asset Management.
What investors need to watch
Overall, the report suggests that the capital markets sector is entering a more selective phase. While exchanges, trading platforms, and some insurers could benefit from current trends, other segments like depositories and asset managers may face near-term challenges.
Disclaimer: Investment stock ratings and price targets mentioned are based on a Jefferies brokerage report and do not constitute personal financial advice or a solicitation to buy or sell any securities. Given the highlighted market volatility and specific sector risks in insurance and asset management, investors should conduct independent research or consult a SEBI-registered investment advisor before making any portfolio decisions. Financial Express holds no responsibility for any investment losses resulting from the use of this information.
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