Chokkalingam said buying in healthcare and consumer services is a hedging strategy by FPIs ahead of the state election results
After sustained selling in the last two and a half months, FPIs bought Indian equities worth Rs 1,433 crore thus far in November, mainly due to the decline in US treasury bond yields and crude oil prices. Foreign Portfolios Investors (FPIs) were net sellers till November 15. However, they reversed the selling trend by infusing money during November 16-17, data with the depositories showed. "The ongoing festive season in India has been seen as a contributing factor to the renewed interest of FPIs in the Indian market. Alongside this, a decrease in US Treasury bond yields and a decline in crude oil prices alleviated some of the pressures that prompted the sell-off earlier," Himanshu Srivastava, Associate Director - Manager Research, Morningstar Investment Adviser India, said. Some intermittent corrections in the markets could have also provided buying opportunities in a few pockets, Srivastava added. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said the .
The above-average deployment by MFs indicates that inflows into equity schemes remained strong even as the market corrected in October
Geopolitical concerns due to the ongoing Middle East conflict also added to the risk aversion in the markets in October, analysts added
Superior earnings growth macro-stability make India a standout major global market, say market mavens.
Foreign Portfolio Investors (FPIs) have pulled out over Rs 20,300 crore from Indian equities this month so far, primarily due to a sharp surge in the US treasury yield, and the uncertain environment resulting from the Israel-Hamas conflict. However, the story takes an intriguing turn on observing FPI activity in Indian debt as they have infused Rs 6,080 crore into the debt market during the period under review, data with the depositories showed. Going ahead, the future of FPI flows hinges on several factors, including the US Federal Reserve's November 2 meeting and global economic developments, Mayank Mehraa, smallcase manager and principal partner at Craving Alpha, said. In the short term, FPIs are expected to remain cautious amid global uncertainty and increasing US interest rates. Nonetheless, India's strong economic growth prospects should maintain its appeal for foreign investors in both equities and debt, he added. According to the data with the depositories, Foreign Portfoli
Elevated bond yields, West Asia turmoil continue to weigh on capital flows
Foreign portfolio investors (FPIs) have withdrawn over Rs 12,000 crore from Indian equities this month so far, mainly due to a sustained rise in US bond yields and the uncertain environment resulting from the Israel-Hamas conflict. However, the story takes an intriguing turn on observing FPI activity in Indian debt as they have infused over Rs 5,700 crore into the debt market during the period under review, data with the depositories showed. Going ahead, the trajectory of FPIs' investments in India will be influenced not only by global inflation and interest rate dynamics but also by the developments and intensity of the Israel-Hamas conflict, Himanshu Srivastava, Associate Director - Manager Research, Morningstar Investment Adviser India, said. Geopolitical tensions tend to elevate risk, which typically hurts foreign capital inflows into emerging markets like India, he added. According to the data with the depositories, foreign portfolio investors (FPIs) sold shares worth Rs 12,14
Will they weather the tempest of withdrawing Rs 25,305 crore since September, or is a perfect storm brewing for Indian equities?
Foreign investors have pulled out nearly Rs 9,800 crore from Indian equities this month so far owing to a sustained rise in US bond yields and the uncertain environment resulting from the Israel-Hamas conflict. This came after Foreign Portfolio Investors (FPIs) turned net sellers in September and pulled out Rs 14,767 crore. Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in Rs 1.74 lakh crore during the period. This inflow was largely due to the reduction in US inflation from 6 per cent in February to 3.2 per cent in July. The temporary pause in the US Federal rate hike from May to August also played a role, Kislay Upadhyay, smallcase manager and Founder of FidelFolio Investments, said. Going ahead, the trajectory of FPIs' investments in India will be influenced not only by global inflation and interest rate dynamics but also by the developments and intensity of the Israel-Hamas conflict, Himanshu Srivastava,
Any correction in the Indian stock markets should be used to buy property, banks and industrial stocks, he advised
An analysis conducted by PRIME Infobase reveals the sectors where overseas funds turned the most bearish
Foreign Portfolio investors (FPIs) have dumped Indian equities worth Rs 8,000 crore in the first week of October on the back of dollar appreciation and the steady rise in the US bond yields. This came after FPIs turned net sellers in September and pulled out Rs 14,767 crore. Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in Rs 1.74 lakh crore during the period. Going ahead, FPIs are unlikely to turn buyers in the market soon in the context of the elevated dollar and US bond yields, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said. According to the data with the depositories, Foreign Portfolio Investors (FPIs) sold shares to the tune of Rs 8,000 crore in this month (till October 6). India continues to be on top of emerging economies in attracting FPI this year, but September witnessed selling and October has begun with the same trend. "The dominant factor impacting capital flows
After sustained buying in the last six months, FPIs have turned net sellers and pulled out of over Rs 14,767 crore from Indian equities in September, primarily due to dollar appreciation, steady rise in the US bond yields, and a spike in crude oil prices. Going forward, the outlook for FPI flows in India is uncertain, as it will depend on the performance of the Indian economy, the RBI's October monetary policy, and the outcome of the September quarter earnings, Mayank Mehra, smallcase, manager and principal partner at Craving Alpha, said. According to data with the depositories, Foreign Portfolio Investors (FPIs) have sold shares to the tune of Rs 14,767 crore in September. The latest outflow came after FPI investment in equities had hit a four-month low of Rs 12,262 crore in August. Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in Rs 1.74 lakh crore during the period. V K Vijayakumar, Chief Investment ...
Foreign Portfolio Investors (FPIs) have pulled out over Rs 10,000 crore from Indian equities in the first three weeks of September, primarily due to rising US interest rates, recessionary fears, and overvalued domestic stocks. Before the outflow, FPIs were incessantly buying Indian equities in the last six months from March to August and brought in Rs 1.74 lakh crore during the period. Mayank Mehra, smallcase, manager and principal partner at Craving Alpha,believes that strong economic growth prospects, attractive valuations, and government reforms could support foreign investment flows in the next month. "Since valuations remain high even after the recent pullback and US bond yields are attractive (the US 10-year bond yield is around 4.49 per cent) FPIs are likely to press sales so long as this trend persists," V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said. According to the data with depositories, in the 15 trading days, so far in September, FPIs
Till September 15, 2023, FPIs have withdrawn Rs 6,027 crore from the Indian equity markets, taking their net investment in 2023 in Indian stocks to Rs 1.31 trillion
After six months of consistent buying, foreign portfolio investors (FPIs) have turned net sellers to pull out Rs 4,200 crore from equities in September, so far, on rising US bond yields, a stronger dollar and concerns over global economic growth. The outflow of foreign portfolio money could continue in the coming week or two, Nitasha Shankar, Chief Investment Advisor, YES Securities (India) Ltd, said. "We also need to keep an eye on the sharp volatility in the rupee, which could impact FPI flows going ahead," he added. According to the data with the depositories, foreign portfolio investors (FPIs) pulled out a net sum of Rs 4,203 crore from the equities, so far, this month (till September 8). This came after FPI investment in equities had hit a four-month low of Rs 12,262 crore in August. Before the latest outflow, FPIs were incessantly buying Indian equities in the last six months -- from March to August -- and brought in Rs 1.74 lakh crore during the period. VK Vijayakumar, Chi
Overseas investor holding increased by 175 bps to 16% of their m-cap this year
To ensure greater transparency, Sebi has mandated enhanced disclosures for a certain class of Foreign Portfolio Investors (FPIs), including furnishing details about ownership and economic interests. In addition, the regulator has tweaked rules pertaining to the eligibility criteria for FPIs. "A foreign portfolio investor that fulfils the criteria specified by the board from time to time shall provide information or documents in relation to the persons with any ownership, economic interest or control, in the foreign portfolio investor," Sebi said in a notification amending the rules on Thursday. The information or documents will be provided in the manner specified by the Securities and Exchange Board of India (Sebi). Further, applicants with investors contributing 25 per cent or more in the corpus that are mentioned in the Sanctions List by United Nations (UN) Security Council are ineligible for registration as FPIs, the regulator had said in June. The Prevention of Money Launderin
He added that costs would increase by about 10 to 20 basis points for Mauritius-based SPVs