Investments through participatory notes (P-notes) in the Indian capital market rose to Rs 91,658 crore at February-end, making it the highest level in 33 months, suggesting growing confidence of overseas investors.
P-notes are issued by registered foreign portfolio investors (FPIs) to overseas investors who wish to be part of the Indian stock market without registering themselves directly. They, however, need to go through a due diligence process.
According to SEBI data, the value of P-note investments in Indian markets -- equity, debt and hybrid securities – increased to Rs 91,658 crore in February-end from Rs 84,916 crore at January-end.
Prior to that, the investment level was at Rs 87,132 crore in December-end.
The month of February 2021 saw the highest level of investment since May 2018, when fund inflow through such route stood at Rs 93,497 crore.