• Macroeconomic resilience: India continues to weather geopolitical uncertainties through domestic manufacturing and energy initiatives, though high crude oil prices remain an inflation and monetary policy risk.
• Equity deployment strategy: Following a 2.5-year time value correction that brought valuations below long-term averages, investors should consider deploying lump sum capital across flexi-cap, multi-cap, and small/mid-cap funds alongside ongoing SIPs.
• Asset allocation preference: Balanced advantage funds dynamically holding 50% to 53% in equities are recommended for entry, while multi-asset allocation funds offer diversified exposure including 10% to 15% in gold/silver and 5% to 7% in REITs and InvITs.
• IT sector outlook: Extended underperformance has turned IT into a selective contra value play as companies adapt to AI models, but retail investors should stick to diversified equity funds rather than concentrated thematic funds.