Sentiment for deals and IPOs may turnaround post Q4 results

I believe mutual funds will continue to play a key role in pricing deals, while FIIs will also be active... Neha Agarwal MD & head-Equity Capital Markets, JM Financial

- Dipti Sharma

Neha Agarwal, MD & head of Equity Capital Markets, at JM Financial, expects market sentiment to improve in the next couple of months once the March quarter results are out. With most companies having reset FY26 earnings guidance, meeting those targets could bring stability. She said promoter commentary on capital allocation and strategy will also be key.

On the global front, Trump's tariff talks could ease trade tension and lift investor confidence if they move toward resolution. So with a turnaround in sentiment, she expects mutual funds (MFs) to keep driving deal pricing, with foreign institutional investors (FIIs) adding scale.

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How was FY25 for you, and what's the outlook for FY26 given the uncertainty around Trump's policies?

FY25 has truly been a landmark year for the Indian capital markets. We have seen some of the highest fundraises across various products: IPOs (initial public offering), QIPs (qualified institutional placement), and more. While there was some market volatility in February and March, the numbers are impressive for calendar year 2025. IPOs alone raised close to $19 billion, while QIPs accounted for another $16 billion. That's a total of $35 billion (excluding block deals), making it one of the strongest years ever for fundraising in India.