Van der Waals indium selenide is a promising material for next-generation optoelectronics due to its thickness-dependent band structure and high carrier mobility. Here, we investigate the optical properties of size-selected liquid-phase exfoliated γ-InSe nanosheets. The dispersions, composed of flakes with lateral dimensions below 100 nm, exhibit pronounced structural disorder and size-dependent optical behavior. Absorbance spectroscopy reveals systematic changes across size-selected fractions, enabling the extraction of quantitative metrics for estimating nanosheet lateral size and layers number. In addition, stability studies demonstrate significant degradation under ambient conditions, which is accelerated at elevated temperatures. Photoluminescence measurements on nanosheets exfoliated under inert conditions show broad, asymmetric emission with a clear blue-shift for smaller flakes, reflecting quantum confinement and dielectric screening effects. The emission characteristics further indicate a dominant contribution from localized states associated with disorder. These findings provide insight into the structure–property relationships in liquid-phase exfoliated γ-InSe and highlight its potential for solution-processed optoelectronic applications.