SEBI's Resilience: Indian Market's $105 Trillion Surge Through Equity and Debt

SEBI Chairman T.K. Pandey highlighted significant capital raised in India's market, amounting to $105 trillion from FY16 to FY26. The robust IPO activity and growing corporate bond market exemplify market confidence. Enhancements to investor participation in IPOs and alternative funds are expected to further stabilize and diversify market resilience.

The Securities and Exchange Board of India (SEBI) Chairman, Tuhin Kanta Pandey, announced on Wednesday that between FY16 and FY26 (up to January), approximately USD 105 trillion has been amassed through equity and debt issuances in India's financial market.

Pandey emphasized the strength of the IPO market, noting that 329 IPOs raised USD 1.8 trillion in FY26 compared to USD 1.7 trillion from 320 IPOs in FY25. The recent surge underscores not only market demand but also the confidence issuers have in public markets for long-term capital ventures.

He further highlighted the growth of the corporate bond market, which expanded at a CAGR of about 12% from FY15, reaching Rs 58.2 trillion by the end of January 2026. Mutual fund assets also experienced substantial growth, increasing from Rs 12 trillion in FY16 to nearly Rs 81 trillion presently.

Foreign portfolio investors continue to play a pivotal role, with equity assets under custody soaring to Rs 71 trillion by January 2026, up from Rs 19 trillion in FY16. The total FPI assets, including debt, amount to around Rs 78 trillion. Domestic institutional investors now provide a strong counterbalance, enhancing market resilience against global economic volatility.

Pandey pointed to India's improved performance in global indices, citing the MSCI India (USD) Index's CAGR of around 9%, outperforming the MSCI Emerging Markets Index's 6% over six years.

Regarding Alternative Investment Funds (AIF), he detailed reducing the minimum investment threshold for Large Value Funds, now Rs 25 crore for accredited investors, facilitating the growth of the AIF ecosystem to Rs 6.5 trillion by December 2025.

He also noted policy advancements in REITs and InvITs, which have been expanded to include a broader array of Qualified Institutional Buyers, promoting wider market participation in these investment avenues.

(With inputs from agencies.)