India’s equity markets have been on correction mode over the last five months. Factors including persistent FIIs’ selling, geopolitical tensions, high valuations, slowing economic growth, and mixed corporate results created uncertainty and leading to sustained selling pressure and a bearish trend in the domestic equity markets. The frontline indices that registered slump since their last peak on September 26, 2024: Nifty 50 Total return Index (TRI), Nifty Midcap 150 TRI, Nifty Smallcap 250 TRI and Nifty Microcap 250 TRI corrected -15 per cent, -21 per cent, -25 per cent and -24 per cent respectively.

Top sectoral indices that corrected the most during the period were Nifty energy (-31 per cent), Nifty realty (-30) and Nifty PSE (-27) while the top three sectors managed to withstand the fall well were Nifty Financial Services (-8 per cent), NIFTY IT (-11) and Nifty bank (-11).

Equity mutual funds followed suit. Schemes with international exposure, defensive stock weight, larger cash, and effective sector rotation corrected comparatively less. Top three equity schemes that corrected the most during the period were Samco Flexi Cap (-29 per cent), Mahindra Manulife Small Cap (-26) and HSBC Small Cap (-25).

Meanwhile, Parag Parikh Flexi Cap (-7 per cent), Motilal Oswal Large Cap (-10) and Motilal Oswal Multi Cap (-10.2) showed resilience during the period and managed to cushion the fall relatively well during the period.

Here is the list of equity schemes from major categories that declined relatively less from their last peak of September 26. Data as of March 1, 2025.