The Figaro Heritage and Stock Market team is ready to answer your questions and provide their expertise on business life, market operations, and stock market law.
Good question! Let’s review the impact of the Iran war on the Paris stock exchange. The main French stock indices (CAC 40, SBF 120) have not fully recovered to their pre-hostility levels since the war started on February 28th, but they are close. Similar trends are seen with the CAC Small index for small companies, while the mid-cap indices CAC Mid & Small and CAC Mid 60 show modest gains.
For the market effect, what have investors done? Have they invested in or withdrawn money from smidcap funds? Data from Portzamparc’s study of 135 smidcap funds totaling 22 billion euros provide some insights.
Under the sign of resilience
After significant withdrawals of around 1.50 billion euros between summer 2024 and spring 2025, the indicator has rebounded. From May 2025 to February 2026, the overall fund inflow became positive again, reaching about 1.20 billion euros, especially in February (+270 million euros, marking “the best level in over a year”). The bar was set high.
What’s next? Limited withdrawals were observed in March (-55 million euros) and April (-26 million euros). There is a sense of wait-and-see: the positive trend is currently on hold, but there are no significant outflows from French smidcap funds to report.
