While foreign institutional investor (FII) inflows rebounded to $3.5 billion in April–May 2025 after earlier outflows, BofA remains cautious. With Indian equities rallying, relative return prospects have diminished versus U.S. Treasuries and other global equities. The brokerage warns that stretched valuations could deter future FII inflows.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)