Every time I sit down to write this newsletter, I tell myself: maybe this week Trump won’t be in the news.

And every time, Trump offers an all-caps reply: “Thank you for your attention to this matter!”

Indian markets jumped sharply on Tuesday after Trump took everyone by surprise by announcing a US-India trade deal. Superstar investor Vijay Kedia responded in his trademark style: with a song.

The post-deal jump came one day after indices fell 2% in a special Sunday Budget trading session. 

2025 was the year of volatility, and 2026 hasn't bothered to ease us in. Markets feel like a speed ride without a seatbelt, with sharp moves and headlines driving sentiment. While optimism around Indian stocks are up, the coming months are not going to be smooth.

How are seasoned superstar investors playing this market? Are they taking the same hits as retail investors?

Let’s take a look. And thank you for your attention to this matter!

Market volatility takes a bite out of superstar investor portfolios

We regular investors follow the superstars closely. We don't just track their portfolios. We know about Kacholia's introversion and his preference for smallcaps. We know about Jhunjhunwala's famous irritability, Kedia's tendency to break into song when given the chance, and Singhania's snazzy style of dressing.

But in recent months, these superstars have not been able to stay ahead of the market. Back in September 2024, markets were at all-time highs, and so were the net worth of many big investing names. But sentiment has turned.

Relentless FII selling and rising geopolitical uncertainty have hit their portfolios. Ashish Kacholia and Vijay Kedia saw real damage from the weak market.

While all the big superstars are in the red, Kedia and Kacholia have seen their net worth turn negative early, since Q2FY26, with sharp declines from their peaks. 

Many existing holdings have corrected. Kedia’s top holding, Atul Auto, which accounts for 22% of his portfolio, is down 16% over the past year. Akash Bhanshali’s key bet, Gujarat Fluorochemicals, has declined 9% over the same period.

As Indians tend to do in dark times, Kedia turned to cricket to explain his current market approach: “Stay put on the pitch. Don’t try to hit fours and sixes. Play defensive.”

Meaningful investments, he says, make sense only when a new bull market begins. Until then, the man who once chased cheetahs is happy riding with ‘tortoises’.

Sunil Singhania echoed similar caution, saying, “This is not the year where you can afford to make too many mistakes.” He added that he plans to be “very, very, very selective” while choosing stocks this year.

Singhania did not add any new stakes in Q3. He exited two stocks by cutting his holding below 1% and reduced exposure in two others.

As market turbulence weighed on portfolios, most expert investors have either stayed put or trimmed positions, with few buys. 

Mukul Agrawal, who tends to be more aggressive, took a slightly different path and reshuffled his portfolio. In Q3FY26, he cut holdings in seven companies and added four new names. But even Agrawal slowed down compared to Q2, when he had added stakes in ten companies and exited thirteen.

Akash Bhanshali and Rakesh Jhunjhunwala & Associates (managed by Rare Enterprises) have stayed on the sidelines, waiting for market volatility to ease before making fresh moves.

What are superstar investors betting on?

Superstar investors bought new stakes in nine companies during the quarter. Four of these were added by Mukul Agrawal alone. The largest investment came from Agrawal in the recently listed pharma company Sudeep Pharma, where his holding is now valued at around Rs 90 crore.

Two clear patterns emerge. First, all nine new bets have market capitalisations below Rs 10,000 crore, indicating that superstar investors are selectively investing in small-cap names. Second, four of the nine companies score well on fundamentals, reflected in strong Trendlyne Durability scores.

With the Nifty Smallcap 250 index down over 10% from its all-time highs, these stocks also have lower Momentum scores, highlighting weak market sentiment.

Only one company, Sudeep Pharma (+2%), of the nine companies delivered positive returns in the past quarter. Adcounty Media, Sudeep Pharma, and Advent Hotels International are recent listings that superstar investors chose to back despite the volatility.

Running for the exit: Superstar investors sell stakes in underperformers

Five stocks exited superstar portfolios in Q3, and all five have fallen over the past quarter.

Stanley Lifestyles and Denta Water and Infra were hit the hardest, each falling by more than 30% during the quarter.

The exits spanned industries, from utilities to speciality chemicals.

Vijay Kedia’s 2019 bet Neuland Labs shines in long-term growth

Neuland Labs stands out as the best-performing long-term bet for both Vijay Kedia and Mukul Agrawal. Kedia, however, has generated superior returns thanks to his early entry back in 2019, when valuations were far more attractive.

Akash Bhanshali’s long-term bet, Sudarshan Chemicals, has lagged behind the top performers of other superstar investors. His largest holding, Gujarat Fluorochemicals—which makes up nearly 30% of his portfolio—has underperformed the benchmark index. Despite this, Bhanshali’s overall net worth has nearly tripled over the past two years, driven by strong gains in other holdings and timely new investments.

See the complete list of superstar buys here, and their sells here. 

And if you’re looking for high quality portfolios outside superstar bets, you can explore Featured Baskets on Starfolio, including Trendlyne RA baskets.