1. Go Long India Debt Mutual Funds: Ideally, it is better to put the funds in a short term fund and start shifting towards longer term funds when RBI's money market tightening measures are rolled back. For any reason, this can't be done (like tax considerations), it is advisable to go long in dynamic bond funds and not direct duration funds. Dynamic funds are better; it can be hoped they would alter the duration of the portfolio suitably while letting the investor park the money tax efficiently.
2. Go Long on US Funds: I can identify Franklin Templeton US Feeder Fund and ICICI Pru US Equity Fund as potential opportunities. With the withdrawal of Quantitative easing on the anvil, it is likely that US economy will do well and US Dollar will do well. The latter especially will be hard on Emerging Markets like India and a choice of US equity denominated in US Dollars will act as a strong hedge against Indian equities which most of us would anyways have.
I am not suggesting totally ignore Indian equities; all I say is, incrementally increase the above two asset classes while choosing Indian companies who mainly export and are debt-free.