International Funds Soar 79% in 2025; What 2026 Holds & Which Funds Are Open

• International equity funds saw average 27% returns in 2025, with top 10 funds averaging 49%; DSP World Mining FoF led with 79%.
• US and Japan-led equities were top performers, driven by tech, AI, and corporate reforms, while China and broader emerging markets lagged.
• Regulatory limits ($7B industry, $1B per fund house) restrict access, causing many funds to close fresh investments.
• A select few international funds currently accept fresh lump-sum investments and SIPs, offering limited global exposure.
• Experts advise using international funds for diversification (10-20% portfolio), preferring SIPs for 2026's moderate, stable returns amid potential volatility.

Why It Matters: International funds surged in 2025; use them for diversification via SIPs, as limited options remain open.