FII Selling Crosses ₹13,925 Crore in November
Foreign institutional investors (FIIs) accelerated their selling in early November, with total outflows crossing ₹13,925 crore, according to NSDL data. Analysts attribute this trend to India’s relatively softer earnings compared to other global markets.
Key Takeaways
- FII selling reached ₹13,925 crore in early November
- FPI ownership in NSE-listed companies fell to 16.9% – lowest in 15+ years
- Primary market investments continue with ₹7,833 crore inflow
AI Trade Impact and Future Outlook
Analysts note that the momentum selling from India is being redirected to markets benefiting from the AI trade, including the US, China, Taiwan, and South Korea.
“The AI trade cannot continue for long since there are concerns of a bubble building up in AI stocks, and when the AI trade loses steam, India will attract FII inflows,” said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited.
He added that while this shift is expected, the exact timeline remains unpredictable.
Primary Market Strength and Year-to-Date Figures
Despite the secondary market selling, FII buying through the primary market remains strong with ₹7,833 crore invested in November alone. For 2025, FII selling through exchanges has reached ₹2,08,126 crore, while primary market buying stands at ₹62,125 crore.
Expert Insights on Recovery Signs
Manoj Purohit, Partner & Leader, Financial Services Tax at BDO India, noted that FPI inflows have shown continuous volatility but indicate signs of recovery ahead.
He identified several positive factors driving this shift:
- Record domestic sales during the festive season
- Sustained corporate earnings growth
- Ongoing India-US trade deal discussions
- Regulatory reforms including KYC alignment and simplified account rules
- Single window India Market Access platform
The sustained selling pressure has pushed foreign portfolio investor ownership in NSE-listed companies down to 16.9% in the September quarter, marking the lowest level in over 15 years.
