Consumer, manufacturing, AI readiness: Where smart money is moving in India

Even as public markets remain volatile and foreign investors stay cautious, top private equity and venture capital leaders believe India’s long-term investment story remains firmly intact, though the next cycle may reward discipline over aggressive risk-taking.

Manish Kejriwal, Founder and Managing Partner at Kedaara Capital, said private investors are less concerned about short-term market swings as they operate with a long-term view.

Speaking during CNBC-TV18’s first edition of The Titans, Kejriwal noted that last year’s strong market conditions encouraged exits, while the current correction could create better buying opportunities. “We play what I would call is the long game, not better, not worse, just different,” he said.

Kejriwal said investors should be careful about chasing the (artificial intelligence) AI trend without understanding it well. Kedaara prefers to invest in sectors where it has experience, such as consumer, financial services, technology services, healthcare and pharma.

Instead of investing directly in AI models, the firm is focusing on businesses that help companies become AI-ready and use the technology to improve efficiency and growth.

Gopal Jain, MD and CEO at Gaja Capital, pointed out that despite foreign selling in public equities, overseas investors continue to back India’s private markets. He said India remains a structural long-term opportunity, with domestic capital pools steadily expanding through family offices and alternative investments.

According to Rishabh Mariwala, Founder and Managing Partner at Sharrp Ventures, India’s next growth phase will likely be driven by rising consumer aspirations. Investors who back entrepreneurs building strong consumer brands for India’s growing middle class could emerge as long-term winners.

Krishna Ramachandran, Managing Partner and COO at TVS Capital Funds, said domestic capital could deepen significantly as pension, insurance and family office money increasingly enters alternative assets.

He added that manufacturing is gradually re-emerging as an investment theme alongside financial services and enterprise technology.

For the entire discussion, watch the accompanying video

Follow our live blog for more stock market updates