Allspring's Paroda: India needs catalysts, large caps to attract foreign investors

• Allspring's Prashant Paroda notes India remains on foreign investors' radar despite market uncertainty.
• India's market has lagged other emerging markets due to rupee depreciation and a delayed US-India trade deal.
• A potential catalyst for Indian equities is the Supreme Court ruling on IEEPA tariffs, expected late 2023/early 2024.
• Paroda anticipates India could be a positive surprise in 2026, especially if global AI investment trends shift.
• If foreign investors return, Paroda expects a focus on large-cap companies, citing strong auto stock performance.

Why It Matters: It explains India's market outlook, catalysts, and large-cap importance for investors.