New Delhi, June 20 -- For investors whose market experience began with the post-pandemic rally, the idea of waiting patiently for long-term returns may seem counterintuitive. After enjoying bumper gains-particularly in mid- and small-cap funds-many are now grappling with muted market performance amid global uncertainty and sustained foreign selling.

Foreign institutional investors have sold nearly $30 billion worth of Indian equities so far. Yet there is a silver lining. Large-cap stocks, which have borne much of that selling pressure, are now trading closer to their 10-year average valuations and at a discount to many mid- and small-cap peers.







Why does that matter? Large-cap companies typically offer stronger balance sheets, deep...