India-focused funds continue to see robust inflows

India has remained one of the best-performing markets this year

After sharp outflows in August and September, the Indian market is once again experiencing a positive investment spell from overseas investors. Foreign portfolio investors (FPIs) have poured nearly $3 billion into domestic stocks since August. A large part of these flows have come from India-focused offshore funds. These are actively managed funds that exclusively invest in select Indian securities, unlike exchange-traded funds (ETFs) which track indices such as the Nifty 50 or the S&P BSE Sensex.

In October, India-focussed offshore funds received inflows of $573 million, while India-focussed offshore ETFs saw net outflows of $31 million, the data from Morningstar