Despite muted index returns and significant FII outflows, the Indian equity market's underlying economy shows resilience with healthy earnings growth. Axis AMC's Shreyash Devalkar highlights AI-driven FII exits and suggests large caps offer valuation comfort but limited growth. He favors mid and small caps for structural growth themes, though valuations are elevated. SIPs remain the preferred investment strategy amidst ongoing macro uncertainties.

Despite muted index returns and significant FII outflows, the Indian equity market's underlying economy shows resilience with healthy earnings growth. Axis AMC's Shreyash Devalkar…

Weak stock market returns? Foreign investors continuing to sell?

JP Morgan says India’s capital markets continue to be driven by strong SIP inflows of ₹310 billion in May 2026, despite weak equity returns and sustained foreign portfolio…