Foreign investors withdrew 39 billion in nine months

Foreign portfolio investors invested Rs 39 billion in the Indian equity market in the nine months to June 2022, or approximately Rs. It has registered brisk sales of around Rs 3 lakh crore. According to NSDL data, he also holds the record of sales for nine consecutive months. His assets under management have seen a […]
 


Foreign investors withdrew 39 billion in nine months

Foreign portfolio investors invested Rs 39 billion in the Indian equity market in the nine months to June 2022, or approximately Rs. It has registered brisk sales of around Rs 3 lakh crore. According to NSDL data, he also holds the record of sales for nine consecutive months. His assets under management have seen a sharp decline in six months.

That is, his assets under management, which stood at ₹65,653 billion in the Indian market in January 2022, declined by 18.6 percent to ₹ 531 billion by June 15, 2022. Due to high valuations in the Indian market as well as high macroeconomic sensitivity to crude, there has been record selling by FIIs. They have been trading continuously for nine months in Asia’s third largest economy. This is the first such incident in more than a decade. So far in June, FPIs have done sales of 5.1 billion. Foreign investors are shifting their funds from commodity consumer economies to commodity producing economies. So countries like Brazil, Indonesia and Malaysia have recorded total flows of 1.5 to 10 billion since the beginning of the calendar. 6 of FPIs in the primary market. Their net outflows in the last nine months are ₹32 billion, as compared to ₹6 billion in inflows. They have recorded net sales of $27 billion in the past year, according to data from Bloomberg.

In May 2022, FIIs registered equity sales worth 5.2 billion. Which was 16 basis points of the total free float market cap in the country. Which represents the largest sales in the top emerging markets. Non-India dedicated active funds accounted for the bulk of the outflow. Which is 75% of the total FPI AUM. This category showed an outflow of 7 billion. While non-India ETFs and India Dedicated Active Funds registered inflows.