Foreign investors withdrew almost $5 billion from India funds in March 2026. This outflow stemmed from global uncertainty and high valuations. Experts believe this is not a loss of faith in India’s growth. Domestic investors showed resilience. Passive investing is growing, but active management remains key. Currency movements also influence decisions. India’s long-term growth story remains strong.
Originally published by The Economic Times https://economictimes.indiatimes.com/markets