FPI Investments Skyrocket to $651B in Sept Quarter

In the September quarter of FY24, the value of investment of foreign portfolio investors has increased. According to a Morningstar report, the value of FPIs’ stake has increased by 15 percent to US $ 651 billion in the September quarter. Know why the value of FPI investments is increasing. Let us tell you that in July, FPIs had invested $ 5.68 billion.

The value of foreign portfolio investors (FPIs) has increased in the September quarter of the current financial year.

The value of FPIs’ stake in domestic equities reached US$651 billion in the three months ended September 2023, up 15 percent from the year-ago period, according to a Morningstar report.

Why has the value of FPI investment increased?

The value of the FPI stake has been due to the good performance of the stock market as well as strong net FPI inflows.

According to the report, the value of FPIs’ investments in Indian equities increased from USD 566 billion at the end of September 2022 to USD 651 billion at the end of September 2023.

FPIs had invested $ 5.68 billion in July

Foreign portfolio investors (FPIs) had pumped in USD 5.68 billion into Indian equities in July on account of steady earnings growth recovery, stable macro fundamentals, and challenges facing the Chinese economy and concerns over its recovery.

However, FPIs pumped in less money in August as compared to July. Foreign portfolio investors (FPIs) pumped in $1.48 billion in August on account of higher crude oil prices and the re-emergence of inflation risks.

This was the reason why FPIs made withdrawals for the first time in September. For the full September period, FPIs pulled out $1.78 billion. Since then, FPI outflows have continued unabated, and in October, FPIs pulled out $ 2.95 billion and as of November 10, FPIs have pulled out $ 679 million so far.

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