NFAP study shows 96 Indian immigrants founded US unicorns. Anand Mahindra says India's startup boom is early. How investors can position for the next stage of wealth creation.
Anand Mahindra reacted to the National Foundation for American Policy (NFAP) study with a pointed message: India’s startup rise has “only just begun.” The data behind that statement is what makes it a market signal for investors tracking the Indian startup ecosystem.
A total of 96 Indian immigrants founded or co-founded privately held US startup companies valued at $1 billion or more – more than any other country. Immigrants founded or co-founded 455 of America’s 775 privately held unicorn startups, or 59%. Another 66% of US unicorns were founded by immigrants or their children. The NFAP report, based on data through April 2026, found that nearly 80% of US unicorns have an immigrant founder or immigrant in a key executive role.
The implication for India’s capital markets is not a straight-line extrapolation. The mechanism linking that US data to India’s startup landscape requires a clear chain of cause and effect.
The simple read: Indian entrepreneurs dominate US unicorn creation, proving the talent pool. The better market read: That talent pool is now both a pull factor and a push factor for India’s domestic startup ecosystem.
Indian immigrants founded 96 US unicorns – more than the next three countries combined. That signals a critical mass of founders who understand scaling, fundraising, and exit strategies. The reverse talent flow – founders returning to India, or mentoring ventures from the US – has already produced some of India’s largest startups.
The report states that America would have $5.0 trillion less wealth if immigrant founders had been barred. That figure is not hypothetical; it captures the net new equity generated by immigrant-led ventures. For India, the same logic applies domestically: the startup boom Mahindra references could create multiples of current wealth if regulatory friction declines.
Immigrant-founded US unicorns jumped from 50 in 2018 to 455 in 2026 – a 9x increase. That growth rate, if mirrored in India’s startup ecosystem, would imply a valuation surge in private companies that eventually hits public markets via IPOs, secondary sales, and venture capital inflows.
What this means: Mahindra’s framing is not patriotism. It is a sector thesis that India’s startup cycle is early relative to the US immigrant-founder benchmark.
Investors can gain exposure through three distinct channels. Each carries a different risk-return profile and catalyst timeline.
Indian holding companies with significant venture portfolios – firms like Info Edge (Naukri, Zomato, PolicyBazaar) or Reliance Industries (Jio Platforms) – offer indirect exposure. Their valuations increasingly reflect startup stakes. A sustained domestic unicorn wave would flow through their book value and sum-of-the-parts valuations.
Institutional vehicles like Smallcase India, ICICI Prudential’s innovation fund, or Sequoia India-linked funds are direct plays. The challenge is liquidity: most are closed-end with long lockups. The NFAP data suggests that the deal flow quality is rising, which may improve eventual exit multiples.
The Indian IPO pipeline for technology companies has historically been volatile (Paytm, Nykaa, Zomato). The NFAP study strengthens the long-term demand thesis for these stocks by showing a deep founder pipeline. Investors should watch pre-IPO liquidity (private secondary trades) to gauge pricing momentum.
Not all startups benefit equally. The NFAP study tracks unicorns across sectors; the concentration matters for India.
Nearly 40% of immigrant-founded US unicorns are in enterprise software or artificial intelligence. That mirrors India’s growing SaaS export base (Zoho, Freshworks, Postman). The mechanism: Indian engineers building US-facing products can now serve the domestic market at lower cost. India’s enterprise SaaS revenue crossed $12 billion in 2025. The NFAP data suggests that talent is not the bottleneck – go-to-market funding is.
India’s fintech unicorns (PhonePe, Razorpay, Cred) already rival global peers. The NFAP study shows that Indian immigrants founded or co-founded 23 US fintech unicorns. That expertise flows back into India’s regulatory environment through UPI, account aggregators, and open credit. Each regulatory milestone acts as a catalyst for fintech valuations.
Indian immigrants are prominent in US biotech unicorns. India’s clinical trial infrastructure and generic manufacturing create a natural expansion path. The CRO (contract research) segment could see liquidity events as domestic startups emerge from the incubation stage.
Practical rule: When a study shows 66% of unicorns in a country founded by immigrants or their children, it signals institutional tailwinds for the founder diaspora – and that diaspora is the first seed capital channel for a domestic boom.
The NFAP data is a snapshot. The forward-looking indicators for India’s startup wave are measurable.
First concrete data point to watch: Q2 2026 Indian startup funding data from PitchBook or similar. If domestic VC investment in seed and Series A rounds grows 25%+ year-over-year, that supports the “boom only begun” narrative from the source.
The NFAP study provides an anchor number: 96 Indian immigrant founders in US unicorns. That is a real human capital base that can redeploy into India’s market.
Anand Mahindra’s statement – “the new stage will be right here within India” – is not just commentary. It is a sector-level signal that the next value creation cycle may originate in India’s own venture ecosystem rather than as a byproduct of US immigration.
Investors should differentiate between companies that benefit from this trend and those that merely claim the narrative. Publicly listed firms with identifiable startup holdings (clear revenue or minority stake disclosures) are the most direct plays. For non-listed exposure, the best vehicle is a diversified venture fund with a 10-year horizon and a track record of exits.
Key risk to watch: The NFAP report itself notes that 24% of US unicorns have a founder who first came as an international student. India’s domestic education system has not historically produced comparable founder density. If India cannot generate similar human capital internally, the domestic booms may be smaller than the US benchmark suggests.
A single IPO filing from a 96-founder contact returning to India would add execution tailwinds to the thesis. A large down round in a prominent Indian unicorn would weaken it. The signal is set; the confirmation data is due over the next 12 months.
For more on how these trends affect US listed Indian stocks and venture-backed IPOs, see our stock market analysis section.
This article is based on a National Foundation for American Policy study authored by Stuart Anderson, covering data through April 2026, and on public commentary by Anand Mahindra. It does not constitute investment advice.
Prepared with AlphaScala editorial tooling from the source reporting linked above. Indexable analysis may include a cited Alpha Score value. Publishing checks screen each story before release. Educational coverage, not personalized advice.