India-focused offshore funds see $4.7 billion outflow in Q1

India-focused offshore mutual funds and ETFs witnessed estimated net outflows of $4.66 billion in the June 2026 quarter, according to Morningstar’s report. The outflows continued despite a strong market recovery, with the Sensex gaining 6.9%, while BSE Midcap and Smallcap indices rose 17.4% and 29.2%, respectively.