Indian investors are increasingly looking beyond domestic markets as global themes such as artificial intelligence, semiconductors and commercial space gain momentum. According to reports from Dalal Street Investment Journal, demat accounts in India dramatically increased from around 4 crore at the start of this decade to over 21 crore by October 2025. This dramatic growth signifies a large rise in Indian investors who are no longer buying the market as one block, with the last financial year seeing nearly three of every four new Equity Fund launches built around a single sector or theme.
Under the Liberalised Remittance Scheme, Indian investment into foreign equity and debt rose to roughly USD 1.7 billion, about ₹14,600 crore, in FY25, a gain of around 12.5%. As reported by Dalal Street Investment Journal, total remittances under the scheme fell about 7% over the same year, yet Indians sent less abroad overall while putting more into global assets. The money is starting to follow the biggest global themes, which are most directly accessible abroad.
Artificial intelligence represents the clearest case with Nvidia becoming the first company in history to touch a USD 5 trillion valuation in October 2025, equivalent to roughly ₹430 lakh crore. According to Dalal Street Investment Journal, the four largest US technology firms have guided toward about USD 725 billion of capital spending in 2026, most of it on AI infrastructure, up from USD 410 billion the year before. Space commercialisation also tells a similar story, with SpaceX listing on the Nasdaq at a valuation near USD 1.77 trillion on June 12, 2026.
GIFT City acts as the gateway for the over 30 million strong Indian diaspora to benefit from India's growth story, with the International Financial Services Centre at GIFT City launching to bring financial services transactions back to Indian shores. According to Geojit Insights, over $15 billion in commitments were raised by March 31, 2026, reflecting sustained growth momentum and rising investor participation in the fund management space. GIFT City domiciled funds offer the ability to transact in foreign currency with no requirement for another bank account, demat account or PAN in India, providing operationally conducive and tax-efficient routes for non-resident investors.
Despite the attractive themes, execution remains crucial for success. As reported by Morningstar's study of the decade to December 2023, investors in sector and theme funds surrendered more of their funds' returns than any other category, trailing by about 2.6 percentage points annually. The cause was timing, with money showing up after themes had run and leaving after they fell. However, the US markets offer the world's deepest menu of thematic ETFs, allowing investors to own themes without having to pick individual winners.
