Investment via P-notes rises marginally to Rs 67,281cr at January end

Investments through participatory notes (P-notes) in the domestic capital market rose marginally to Rs 67,281 crore at the end of January 2020. Investments increased after hitting a nearly 11-year low at the end of December 2019 when the total value of P-note investments in Indian markets -- equity, debt, and derivatives -- stood at Rs 64,537 crore, according to Sebi data.

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.

Of the total investments made till the end of January, Rs 55,089 crore was invested in equities, Rs 11,517 crore in debt and Rs 59 crore in the derivatives segment.

In the preceding month, the fund inflow through P-notes was the lowest since February 2009, when the cumulative value of such investments stood at Rs 60,948 crore, according to the data.