Last Updated: March 19, 2023, 11:29 IST
Foreign Portfolio Investors (FPIs) invested Rs 11,495 crore in Indian equities until March 17.
In phrases of investing in sectors, FPIs have been constant consumers solely in capital items
Foreign buyers have put in Rs 11,500 crore in the Indian equities up to now this month, primarily pushed by bulk funding from the US-based GQG Partners in the Adani Group firms. Going forward, FPIs might take a cautious stance in their method in the approaching days following the collapse of the US-based banks — Silicon Valley Bank and Signature Bank — that dented sentiments in the market, consultants stated.
According to the information with the depositories, Foreign Portfolio Investors (FPIs) invested Rs 11,495 crore in Indian equities until March 17.
This got here after a web outflow of Rs 5,294 crore in February and Rs 28,852 crore in January. Prior to that, FPIs infused a web quantity of Rs 11,119 crore in December, information confirmed.
“This (influx in March) is inclusive of the majority funding of Rs 15,446 crore by GQG in the 4 Adani shares,” V Okay Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated.
Excluding this, FPI activity in equities represent a strong selling undercurrent.
In the calendar year 2023, FPIs have sold equities to the tune of Rs 22,651 crore.
Himanshu Srivastava, Associate Director – Manager Research at Morningstar India, attributed the latest inflows to better prospects of Indian equities over longer time frames.
Although, like many other countries, India has also been going through a rate hike cycle given high inflation levels, it is still perceived to be relatively better placed with respect to macro conditions compared with other markets.
On the other hand, FPIs pulled out Rs 2,550 crore from the debt markets during the period under review.
In terms of investing in sectors, FPIs have been consistent buyers only in capital goods.
In financial services, FPIs have been alternating between buying and selling in different fortnights. Since risk off is the dominant market mood now following the bank failures in the US and fears of contagion, FPIs are unlikely to turn buyers in the near-term, Geojit Financial Services’ Vijayakumar said.
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(This story has not been edited by News18 workers and is printed from a syndicated information company feed)
