New Delhi, Oct. 13 -- India is a market where exit is easy but entry is tough, says Nilesh Shah, managing director of Kotak Mahindra AMC, the fifth-largest mutual fund based on quarterly assets under management (AUM) as of September-end.

Out of Kotak Mahindra AMC's overall AUM of Rs.5.26 trillion, equity is Rs.3.12 trillion.

It's a classic fear versus Fear of Missing Out (Fomo) scenario: if FPIs spook DIIs, the fear will win; if DIIs create Fomo among FPIs, they may turn buyers, pushing the market up, he explained.

"Currently, the market is in a sideways phase with no major upswings, which may continue unless there's a big correction."

Over the longer term, fundamentals will prevail, he believes, adding that the biggest driver for Ind...