India, April 21 -- If inflation returns, will retail investors earn better returns?

For most Indian retail investors, except for the damaging interlude in 2026, and possibly earlier, the past few years seemed rewarding. Portfolio values rose, equity markets delivered strong gains until 2026, and the first several months in 2025, and fixed-income instruments offered stable returns. But as equities wobble, portfolios are cobbled afresh, people are doubled under the strain of uncertain interest rates, and troublesome inflation may flare up again, a deeper question emerges. How will the investors create wealth to beat inflation, or to keep up with it? It is time to calculate the costs of price rises on returns.

With the ongoing global tensi...