India, Oct. 13 -- For years, foreign investors were seen as one of the biggest forces shaping Indian equity markets. Their buying could lift markets, while sustained selling could quickly change sentiment. But that dynamic is now changing.

India is building something its capital markets did not have at the same scale a decade ago: a much deeper pool of domestic capital.

I believe the more important question today is not whether Indian households are replacing foreign investors, but whether they are making India's markets less dependent on them.

India's equity market has grown significantly, with NSE-listed companies valued at around Rs.469 lakh crore (US$4.9 trillion) as of October 6, 2026. Yet FPIs held just 15.1% of NSE-listed compan...