Foreign Portfolio Investors (FPIs) remained in a selling mode in January, withdrawing nearly Rs 36,000 crore (about $3.97 billion) as global uncertainties persisted. Meanwhile, a higher securities transaction tax (STT) proposed in the Union Budget may weigh on overseas investor participation in the near future.
After three consecutive months of heavy selling, foreign portfolio investors (FPIs) turned net buyers in the first week of February, infusing more than Rs 8,100 crore in Indian equities, aided by improving risk sentiment, along with a trade deal with the US.
Foreign investors pulled out Rs 17,955 crore (Rs 2 billion) from Indian equities in the first two weeks of this month, taking the total outflow to Rs 1.6 lakh crore (Rs 18.4 billion) in 2025.' This sharp withdrawal follows a net outflow of Rs 3,765 crore in November, extending the pressure on domestic equity markets.
Foreign portfolio investors (FPIs) remained net sellers of Indian equities in September, withdrawing Rs 23,885 crore (around $2.7 billion) and taking year-to-date outflow to Rs 1.58 lakh crore ($17.6 billion).
After a brief pause in October, foreign investors resumed selling, pulling out a net Rs 3,765 crore from Indian equities in November, driven by global risk-off sentiment, volatility in global tech stocks and selective preference for primary markets over secondary markets.
'AUM reached an all-time high of Rs 79.9 trillion in October 2025, driven by strong retail participation and record SIP inflows of Rs 29,529 crore from over 94.5 million contributing accounts.'
After withdrawing money on a net basis for the past three months, foreign portfolio investors (FPIs) have turned buyers with a Rs 6,480 crore investment in October so far, driven by strong macroeconomic factors.
Foreign investors have pulled out nearly Rs 18,000 crore from Indian equities so far this month, weighed down by escalating US-India trade tensions, disappointing first-quarter corporate earnings, and a weakening Indian rupee. With this, the total outflow by Foreign Portfolio Investors (FPIs) in equities has reached Rs 1.13 lakh crore so far in 2025, according to data from the depositories.
Foreign investors offloaded Indian equities worth nearly Rs 21,000 crore in the first half of August, pressured by US-India trade tensions, lacklustre first-quarter corporate earnings, and a weakening rupee.
The net inflow into equity mutual funds surged 24 per cent to Rs 23,587 crore in June, reversing the declining trend of the last five months, driven by strong equity market performance across segments, data released by the Association of Mutual Funds in India (AMFI) showed on Wednesday. Also, the latest fund infusion by investors marks the 52nd consecutive month of net inflows into the segment.
Overseas investors had put in a net sum of Rs 45,981 crore in March and Rs 11,182 crore in February in the capital markets
Geopolitical tensions in different parts of the globe and slowdown in global economy led investors to opt for safe-haven like gold over the last one year.
Equity mutual funds witnessed an inflow of Rs 35,943 crore in November, marking a drop of 14 per cent on a month-on-month basis, amid heightened volatility in stock markets driven by various macroeconomic factors, geopolitical events and US election results. Despite this, it marked the 45th consecutive month of net inflows into equity-oriented funds, reflecting the growing popularity of mutual funds among investors, according to data from the Association of Mutual Funds in India (AMFI) released on Tuesday.
Investors across age groups and risk appetite can invest in these schemes.
However, they put in Rs 2,744 crore in the debt markets during the period under review.
As the coronavirus pandemic is triggering fears of a global recession, foreign investors have started rowing back from the Indian capital markets by withdrawing a massive over Rs 1 lakh crore in March after remaining net buyers for six consecutive months. In order to contain the spread of coronavirus, lockdowns have become a norm the world over and have led the FPIs to adopt a cautious stance, market experts said.
However, a net amount of Rs 11,119 crore was withdrawn from the debt segment during the same period. This translated into a net investment of Rs 1,003 crore.
'The good news is that money continues to flow into India-focussed offshore funds.'
Don't exit from growth-style funds as they may benefit next from a shift in investor preference.
Experts believe FPIs will keep a close watch on coronavirus pandemic, its spread and likely impact on the economy while making decisions about investment into India.
Experts attributed the inflows to sudden rally in gold prices, mainly due to uneasy trade negotiations between the US and China and lower than expected global GDP growth.
With this, the total SIP contribution in the first seven months of the current financial year rose to Rs 57,607 crore as compared with Rs 52,472 crore in April-October 2018, according to the latest data from the Association of Mutual Funds in India (Amfi).
In the entire 2017, FPIs put in a collective amount of Rs 2 trillion in equity and debt markets
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