Defy the odds, with Nifty Smallcap 100 gaining 0.75%
Foreign investors made a strong return by injecting more than Rs 2 lakh crore into Indian equities in 2023-24, driven by optimism surrounding the country's robust economic fundamentals amidst a challenging global environment. Looking forward to 2025, Bharat Dhawan, Managing Partner at Mazars in India, said that the outlook is cautiously optimistic and anticipates sustained FPI inflows supported by progressive policy reforms, economic stability, and attractive investment avenues. "However, we remain mindful of global geopolitical influences that may introduce intermittent volatility, emphasising the importance of strategic planning and agility in navigating market fluctuations," he added. The outlook for FY25 from an FPI perspective, continues to remain strong, Naveen KR, smallcase Manager and Senior Director at Windmill Capital, said. In the current fiscal 2023-34, Foreign Portfolio Investors (FPIs) have made a net investment of around Rs 2.08 lakh crore in the Indian equity marke
Fraudulent trading platforms are offering resident Indians trading opportunities on par with foreign funds, which is not possible under the current rule
Capital markets regulator Sebi on Monday cautioned investors against fraudulent trading platforms, claiming to facilitate stock market access to Indians through Foreign Portfolio Investors (FPIs) route. Sebi noted that fraudsters are enticing victims through online trading courses, seminars, and mentorship programs in the stock market, leveraging social media platforms such as WhatsApp or Telegram, as well as live broadcasts. Posing as employees or affiliates of Sebi-registered FPIs, they coax individuals into downloading applications that purportedly allow them to purchase shares, subscribe to IPOs, and enjoy "institutional account benefits"-- all without the need for an official trading or demat account, Sebi said adding that these operations often use mobile numbers registered under false names to orchestrate their schemes. The cautionary statement came after Sebi received a number of complaints regarding fraudulent trading platforms, which falsely claimed affiliation with FPIs a
Financial conditions have tightened the economy with liquidity going into a deeper deficit putting upward pressure on short-term rates, according to a research report by CRISIL Market Intelligence and Analytics. The report released during the month also said that foreign portfolio investors turned net sellers further aggravating the tight liquidity conditions. With tightening of the liquidity, the transmission of interest rates improved across lending and deposit rates in January. However, the cumulative rise in most deposit and lending rates remained lower than the 250 basis points of repo rate increase by the RBI since May 2022, the report said. This incomplete transmission of monetary policy prompted the Reserve Bank of India to keep the interest rates unchanged, the research body said in the report. "We believe that the central bank will be active in liquidity management and adopt regulatory measures to prevent excesses in credit growth. We foresee the RBI cutting rates from Ju
Retail investors churn, while FPI adjustments drive notable market shifts
Goyal expects around $30 billion inflows on the back of the inclusion
Highest in 12 months; Most among EM peers; Rising bond yields trigger risk off bets
The hardening of US Treasury yields also weighed on sentiment and raised concerns about whether the Federal Reserve would lower interest rates at the same pace as the Street has priced
One takeaway from last year is that most IPOs returned money to the investors, S Ramesh, Managing Director and CEO, Kotak Investment Banking, said
Tamil Nadu is all set to host the third edition of the Global Investors Meet, and the first one by the ruling DMK government, from Sunday with a galaxy of leaders set to participate in it. A host of representatives from several multinational companies, over 450 international delegates, and representatives from 50 countries are expected to attend the two-day event. The previous editions of the Global Investors Meet (GIM) were held in 2015 and 2019, when AIADMK was the ruling party, under the chief ministers late J Jayalalithaa and Edappadi K Palaniswami, respectively. The Ministry of Industries and Guidance Tamil Nadu--the state's investment promotion agency--, who are the organisers of the event, expect over 30,000 participants during GIM 2024 with Union Commerce Minister Piyush Goyal set to be part of the inauguration along with Chief Minister M K Stalin and his cabinet colleagues. "As the Tamil Nadu Global Investors Meet 2024 approaches, the air is thick with anticipation! With o
FPIs bought shares worth 427.33 billion rupees in the first half of December, marking a fortnightly record, driven by lower U.S. bond yields amid expectations of interest rate cuts by Federal Reserve
Emerging industries poised for investment-led growthare battery energy storage solutions, green hydrogen, biotechnology, AVGC (animation, visual effects, gaming, comics)
Foreign portfolio investors were net sellers in the first two months of 2023 but turned buyers in March amid moderating valuations
The key buyers included Nippon India Mutual Fund, ICICI Prudential Mutual Fund, and Edelweiss Mutual Fund, among others
Govt spending, FPI flows to drive liquidity
India's foreign exchange reserves increased to USD 604 billion as on December 1, surpassing the USD 600 billion mark after a gap of about four months. The forex reserves were last above the USD 600 billion mark on August 11 this year. "India's foreign exchange reserves stood at USD 604 billion as on December 1, 2023. We remain confident of meeting our external financing requirements comfortably," Reserve Bank Governor Shaktikanta Das said, while unveiling the December bi-monthly monetary policy on Friday. The reserves were USD 597.935 billion in the preceding week ended November 24. In October 2021, the country's foreign exchange kitty had reached an all-time high of USD 642 billion. The reserves took a hit as the central bank deployed the reserves to defend the rupee amid pressures caused majorly by global developments since last year. The governor further said the Indian rupee has exhibited low volatility compared to emerging market economy (EME) peers in the calendar year 2023,
After turning net sellers in the past two months, FPIs again made a comeback in the Indian stock markets in November and pumped in Rs 9,000 crore amid fall in US treasury bond yields and the resilience of the domestic market. Additionally, Foreign Portfolio Investors (FPIs) made a net investment of Rs 14,860 crore in the debt market last month, making it the highest level in six years, data with the depositories showed. Going forward, FPI response will be crucially determined by the market trend, which, in turn, will be influenced by the state election results, VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said. If the state election results turn out to be favorable for the ruling dispensation, the market will stage a rally, and overseas investors are unlikely to miss that rally by big selling, he added. According to the data, FPIs made a net investment of Rs 9,000 crore in Indian equities in November. This came after FPIs dumped Indian equities worth R
At present, the combined holdings of NRIs and OCIs in a global fund have to be less than 50 per cent, while that of a single NRI or OCI is capped at 25 per cent
The value of foreign portfolio investors' holdings in domestic equities reached USD 651 billion in the three months ended September 2023, which was 15 per cent higher than the year-ago period, according to a Morningstar report. This could be attributed to the good performance of the domestic equity markets as well as strong net FPI inflows. According to the report, the value of FPIs' investments in Indian equities rose from USD 566 billion as of September 2022 to USD 651 billion at the end of September 2023. On a quarter-on-quarter basis, the value of such investment rose 4 per cent from USD 626 billion recorded in the three months ended June this year. Despite the growth, FPIs' contribution to Indian equity market capitalisation fell marginally during the quarter under review to 16.95 per cent from 17.33 per cent in the previous quarter. Picking up from the June quarter, foreign investors continued their buying spree in the Indian equity markets for the most part of the September