India-dedicated funds stanch FPI sell-off in September, shows data

If not for inflows from India-dedicated funds, the FPI outflow tally in September would have crossed $2 billion.

India-dedicated funds saw inflows of $416 million in September, helping mitigate selling pressure from foreign portfolio investors (FPIs).
 

Conversely, funds investing in global emerging markets (GEMs) and other funds (which include those investing in Asia — excluding Japan and global markets) pulled out $1,274 million and $472 million, respectively.
 

The total outflows from funds tracked by EPFR Global, a data provider, stood at $1.33 billion. Such funds accounted for a bulk of selling pressure from overseas investors the domestic markets witnessed in September.

According to the National Securities Depository (NSDL), total foreign portfolio investor (FPI) outflows from the domestic