what is fdi

FPI AND FDI

FPI AND FDI Deep Dive into FPI and FDI Both Foreign Portfolio Investment (FPI) and Foreign Direct Investment (FDI) are channels for international capital flow, but they differ significantly in their nature, objectives, and impact. Here’s a detailed breakdown: Foreign Portfolio Investment (FPI) Focus: Financial Assets Stocks, bonds, mutual funds, ETFs of foreign companies American Depositary Receipts (ADRs)/Global Depositary Receipts (GDRs) – represent shares of foreign companies traded on local exchanges Investment Style: Passive Investors don’t actively manage foreign companies or assets…