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Investment through participatory notes (P-notes) in the Indian capital market dipped marginally to Rs 84,976 crore as on January 31 after hitting 31-month high value at the end of the preceding month. At December-end, the investment through such instruments had risen to a 31-month high of Rs 87,132 crore, reflecting the bullish stance of FPIs.

Of the total Rs 84,976 crore invested through the route till January, Rs 77,724 crore was invested in equities, Rs 6,574 crore in debt, and Rs 679 crore in hybrid securities. The investment level fell to an over 15-year-low of Rs 48,006 crore at the end of March amid significant volatility in broader markets on concerns over the coronavirus-triggered crisis.

However, since then, the investments rose for five consecutive months till August-end when it stood at Rs 74,027 crore. In September, it had decreased to Rs 69,821 crore.  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 are required to go through a due diligence process.