FPI investments grows Rs.3,700 cr in June 2016
The Dollar Business Bureau
The foreign investors have brought in over Rs.3,700 crores into the Indian stock market in June, thereby raising the total investment amount to over Rs.20,600 core so far during the current fiscal period.
The investment in June is also followed by a lurching inflow of more than Rs. 32,000 crore in preceding three months. The incoming investments are mainly on the hopes of good monsoon expected this year.
“Good monsoons should drive improvement in earnings in 2016-17 and India remains a long-term structural story. Better near-term as well as long-term catalysts might have led to higher flows,” said Nilesh Shetty Quantum AMC Associate Fund Manager Equity.
The foreign portfolio investors turned the net buyers of equities after pulling out Rs.41,661 crores from the market in the last four months.
According to the depositors’ data, the net investment of FPI stood at Rs.3,713 crores in the stock market in the last month.
However, they also pulled out Rs.6,220 crore from the debt market during the period under the review.
The foreign portfolio investors have invested Rs.20,648 crore in this year so far in the equities, while withdrawing Rs.12,105 crores from the debt market. This resulted in a net flow of Rs 8,543 crore.