FPI invested Rs 35,109 crore in November

Mumbai: Net FPI inflow into equities in the month of February has been Rs 20,593 crore, as per NSDL data. Since January, FPIs have invested over Rs 39,000 crore. S.Ranganathan, Head of Research at LKP Securities said that sectors like private banks, consumer, FMCG and IT have seen foreign flows as Indian companies have exhibited resilience and demonstrated growth post lifting of the lockdown restrictions in Q3. "We expect foreign flows to be positive in Q4 as well in line with the trend so far as the Budget has been pro-growth with privatisation gaining ground," he said. Further, hopes on the Covid vaccination front and the government's push for capital expenditure and infrastructure boost have also led to positive sentiments among the investors, analysts said. As per the Budget announcement, the Centre has included amendments to various financial legislations in the Finance Bill, 2021 to permit debt financing of InvITs and REITs by Foreign Portfolio Investors. In the Budget speech 2021-22, it has been announced that "debt financing of InvITs and REITs by Foreign Portfolio Investors will be enabled by making suitable amendments in the relevant legislations".

New Delhi: The Indian stock market is currently trading at an all-time high. The stock market had dropped to 25600 levels during the lockdown in March. In the last eight months, it has jumped 70 percent from its minimum level. Still, foreign portfolio investors (FPIs) remain positive on Indian markets. So far in November, FPI has invested Rs 35,109 crore in Indian markets.

Investors’ perception has been strengthened by better quarterly results of companies and government measures to encourage investment activity. According to depository data, FPI has invested Rs 29,436 crore in equities and Rs 5,673 crore in debt or bond markets during November 2-13. Thus his net investment has been Rs 35,109 crore.

FPI’s net investment in Indian markets was Rs 22,033 crore last month. Arjun Yash Mahajan, head of institutional business at Reliance Securities, said, “The performance of Indian markets continues to be good, with FPIs ready to take risks here. The FPI sentiment has also been strengthened by quarterly results of companies and government reform measures. Market experts say the FPI is expected to remain positive going forward. Mahajan said, “FPIs may place bets further in areas that show militant potential amid slowdown in the economy.”

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