Foreign portfolio investors (FPIs) reduced their stake in Indian stocks to a decade-low of 16.6%, totaling ₹54.5 lakh crore in November, reflecting extensive selling since September 2023.
FPIs sold over ₹40,000 crore worth of Indian equities during this period. Despite India's robust fundamentals, FPI holdings hit a historic low.
Analysts anticipate a reversal in FPI sentiment as yield spike fears ease and valuations become more reasonable, though near-term election-related uncertainty may contribute to volatility.