Stock Market Selloff: Indians Lose ₹13 Lakh Crore in 3 Months as Foreign Portfolio Investors Step Up Selling

Capital Market Correction: Deciphering the Heavy Institutional Exit Driving Trillions Out of Indian Equities

 
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The domestic equity ecosystem has faced severe downward pressure over the last quarter, with retail and institutional investors absorbing massive portfolio corrections.

Extensive market analysis indicates that Indians lose ₹13 lakh crore in stock market in 3 months, highlighting a sharp shift in broader market sentiment.

A combination of rising bond yields in Western economies, domestic premium valuations, and global macro risks has triggered a broad-based exit across major index heavyweights.

In this sudden market downturn, foreign investors emerge as villains by aggressively liquidating their local holdings to move capital back into safer dollar-backed assets.

This persistent capital outflow from Foreign Portfolio Investors (FPIs) has outpaced domestic institutional buying, dragging down key benchmark indices from their previous record highs.

Financial advisors are urging retail market participants to look past temporary volatility, focus on fundamentally sound large-cap assets, and rebalance their portfolios to navigate this prolonged global risk-off cycle.

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