Archive · 5 Oct 2026
Foreign Investors Exit Listed Stocks, Chase Indian IPOs
Some foreign investors are taking money out of shares that already trade on the stock market.
At the same time, they are choosing to put money into some new companies selling shares for the first time.
The article says the prices for these new share sales are set in advance, which may appeal to investors.
But many new share sales are happening.
This can make it harder for money to flow through the market.
The article warns that this growing demand for money could worsen a liquidity squeeze.
It does not give numbers or name particular companies.
Foreign institutional investors (FIIs) are withdrawing money from listed Indian stocks.
The article says FIIs are investing selectively in India’s primary IPO market.
IPO pricing set before trading may offer investors more predictable entry valuations, according to the article.
A continuing large number of IPOs is increasing pressure on market liquidity.
The article identifies a potential liquidity squeeze but provides no figures or specific investor names.
- Who
- Foreign institutional investors (FIIs)
- What
- FIIs are pulling funds from listed Indian stocks while investing selectively in IPOs.
- When
- Not specified in the article.
- Where
- India
- Why
- The article says investors are pursuing the predetermined pricing of IPOs; the volume of IPOs is also worsening liquidity pressure.
IPO investment appeal
Liquidity concerns
Where FIIs are investing
IPO investment appeal
FIIs may prefer IPOs because their prices are set in advance, offering more predictable pricing.
Liquidity concerns
Withdrawing from listed stocks while directing money into IPOs can contribute to pressure on market liquidity.
Growing IPO volume
IPO investment appeal
The article says investors are selectively pursuing IPO opportunities.
Liquidity concerns
The article warns that a relentless flood of IPOs is worsening the liquidity squeeze.
- Investors discussed
- Foreign institutional investors (FIIs)
- Listed-market activity
- FIIs are pulling funds from listed stocks.
- IPO activity
- FIIs are investing selectively in the primary IPO market.
- Pricing rationale
- The article points to predetermined IPO pricing as an attraction.
- Market concern
- A relentless flow of IPOs is making a liquidity squeeze worse.