India FPI

Capital markets regulator Sebi has made stringent norms for Foreign Portfolio Investors (FPIs), asking them to disclose any material change in their structure and common ownership within seven working days. With regard to new FPI registrations, the Securities and Exchange Board of India (Sebi) can ask them for any additional documents which may be required, according to a notification. Under the new rules, FPIs will inform Sebi and designated depository about any false or misleading information about change in material respect and any change in their structure or control within seven working days in writing. In addition, FPIs will have to inform in case of any penalty, pending proceedings, findings of investigations for which action may have been taken or is in the process of being taken by an overseas regulator against them within seven days. "In case of any direct or indirect change in structure or common ownership or control of the foreign portfolio investor or investor group, i

Looking from a medium-to-long term perspective, India is well positioned to deliver growth, both from the economy and equity market point of view

Why have FPIs turned negative on India?

After three years of aggressive buying, foreign portfolio investors slammed brakes in 2022 and withdrew Rs 1.21 trillion from the Indian stock markets. Why have FPIs turned negative on India in 2022?

A return of foreign investors is bolstering the market, where the benchmark S&P BSE Sensex Index rose to an all-time high on Friday as risk assets rejoiced over a softer US inflation print

FPI flow is expected to remain volatile in the coming months on a slew of global and domestic factors, experts said

There is a clear trend reversal in FPI flows from July onwards since when overseas investors turned buyers in India after nine straight months of massive net outflows, which started in Oct last year

Despite the positive flows, the allocation in IT at 10.7 per cent dropped for the fifth consecutive month and is the lowest since March 2018

Between 2011-12 and FY22, the market value of FPI holdings had increased at an annualised rate of 16.5 per cent in local currency terms and a modest 11.5 per cent in US dollar terms

The Sensex rose 708.2 points, or 1.2 per cent, to end at 59,277 - the highest closing level since February 2

Consequently, FPIs' contribution to Indian equity-market capitalisation also fell during the quarter under review to 18.3 per cent from 19 per cent for the three months ended September 2021

As per analysts, institutions seem to be on a buying spree for IT, Banks, Capital Goods, and FMCG stocks

FPIs have actually offloaded stocks worth over Rs9,000 crore in the secondary market in November

FMCG, real estate, IT report positive flows

While net FPI slows for the initial two months were positive, FPI selling was seen accelerating in the subsequent two months

This is the fourth such communication from the market regulator to the designated depository participants/custodians in a month

As per the depositories data, FPIs pulled out a net sum of Rs 6,884 crore from equities and a net Rs 8,519 crore from the debt segment between April 1-30

In HDFC Bank, HDFC, ICICI Bank, SBI, Axis Bank and Bandhan Bank, FPIs reduced their holdings in the range of 100 bps to 300 bps.

While a coordinated aggressive monetary easing from the central banks is most likely to offer some respite in the near-term, it is unlikely to improve the sentiments

FPIs have been net buyers in the Indian markets since September 2019, the data showed

Sebi eases FPI norms: Here are the key takeaways from the meeting

Sebi said FPIs would no longer be required to meet the 'broad-basing' criteria, under which at least 20 investors were required to establish a fund. Listen to this podcast for more