REITs remain positive in Indian markets; invest ₹ 47,334 crore in August so far


New Delhi: Foreign investors have remained net buyers in Indian financial markets in August so far, increasing 47,334 crore on a net basis as excess liquidity in global markets and low interest rates drove money to emerging markets. According to data from custodians, the equity segment recorded a net investment of 46,602 crore for So far, 732 crore has been invested in the debt segment by foreign portfolio investors (REITs) in August.

Total net investment from August 3 to 28 was 47.334 crore. Previously, REITs were net buyers for two consecutive months. They invested 3301 crore in July and 24,053 crore in June on a net basis.

“REITs have invested more 80,000 crore of shares since April of this year. Over 50% of that investment took place in August itself, ”said Harsh Jain, co-founder and COO of Groww.

Rusmik Oza, Executive Vice President, Head of Fundamental Research at Kotak Securities, said that “REITs continue to remain net sellers this week in most emerging and Asian markets except India and South Africa. South Korea”.

“On a monthly and calendar year basis to date as well, REITs have been sellers in most emerging markets and India has been an exception.” Himanshu Srivastava, Associate Director – Research Director, Morningstar India, said excess liquidity in global markets and low interest rates have led, among other things, to foreign money flowing into stock markets Indians.

REITs have looked to emerging markets like India as well because these markets have performed well and offer good potential to generate better returns. Indian stocks continue to be attractively valued, attracting the attention of FPI, Srivastava added.

“The recent Qualified Institutional Placement, follow-up to the public offering and initial public offerings of many companies have also poured a lot of REIT money into India. They are investing in companies that they see as good choices and are suffering temporarily. of the COVID-19 situation, “Jain said. In fact, many bets made in April of this year have already resulted in nice gains for some REITs, he added.

This story was posted from an agency feed with no text editing. Only the title has been changed.

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