India emerging as non-AI investment hedge as global capital rotates. Mirae Asset's Swarup Mohanty argues that Indian markets could attract significant foreign investment once artificial intelligence allocations peak. Indian IT companies currently face pressure as investors shift focus to AI-linked stocks, with traditional IT services firms seeing reduced valuations. However, Mohanty believes India's skilled workforce will adapt and find opportunities within the AI ecosystem. The broader opportunity lies in India's structural growth story. With the economy expanding at six percent and offering market diversity absent in other regions, India positions itself as an alternative for portfolio diversification. Money flows in cycles, and after years of capital concentration in AI, fund managers will seek value elsewhere.
