π Foreign Investors Just Ghosted Dalal Street β Should We Swipe Left on FPI Love Forever?
By Prashant Marathe | EduInvesting.in | 21 May 2025
π At a Glance:
On May 20, FPIs (Foreign Portfolio Investors) pulled out βΉ10,300 crore from Indian markets β the biggest single-day selloff since February.
Meanwhile, retail investors and DIIs (Domestic Institutional Investors) were left to play the role of heartbroken lovers cleaning up after a messy breakup.
Once again, the FPIs came in fast, flirted with our stocks, made some gains, and left us ghosted when things got serious. Classic toxic relationship.
π The Numbers (and the Drama)
Date
FPI Net Flow
DII Net Flow
May 20
-βΉ10,304 Cr
+βΉ9,181 Cr
May (MTD)
-βΉ28,242 Cr
+βΉ26,954 Cr
April Total
+βΉ12,437 Cr
-βΉ8,012 Cr
FPIs are exiting. DIIs are coping. And retail? Retail is still hoping Nifty breaks 25K.
πͺ Why Are FPIs Leaving (Again)?
US Bond Yields Rising: Dollar daddy offering better returns.
Indian Election Jitters: Uncertainty = panic = exit.
Valuation Fatigue: India looking expensive compared to China, Korea.
Profit Booking: Nifty at ATH? Time to cash out, bro.
π Bonus Reason:
Some of them just like drama. They love making a scene before exiting. FPI = Filmy Portfolio Investors.
π¬ The Pattern: Toxic FPI Dating Timeline
2020: βOmg, India is the next China!β β Massive inflow