Where is the money flowing? FPI flows outlook for India turns dim

In September quarter, foreign investors sold $3.2 bn of Indian stocks, highest among EMs

Foreign portfolio investors (FPIs) have pulled out over $3.2 billion from the domestic stock market in the September quarter (data till September 28). Other emerging markets (EMs), including South Korea ($2.8 billion), Indonesia and Taiwan (at $2.1 billion each) and South Africa ($1.4 billion), too, saw pull-back by foreign investors, lower pace, according to the Bloomberg data as on September 29. 

This flight of capital began in early August due to risk-aversion created first by rising geopolitical tensions due to North Korean aggression and second by the US Federal Reserve’s decision to shrink its balance sheet, which caused the US