Offshore India funds, ETFs see $2 billion inflows in Jan-Mar

India-focused offshore funds and exchange-traded funds (ETFs) registered net inflow of $2 billion in the January-March quarter as against a huge outflow of $1.3 billion in the year-ago period.

An offshore India fund is one that is not domiciled in India but invests primarily in Indian markets.

According to a report by mutual fund tracker Morningstar, India-focused offshore funds saw an inflow of $1.46 billion, while that of ETFs witnessed an infusion of $509 million, taking the total to $2 billion.

During the October-December quarter of 2016, the category had seen a net inflow of $449 million.

"On positive side, more money is flowing into India focused funds compared to India focused ETFs which signify long-term money. Flow into ETF is considered as short-term money," said Himanshu Srivastava Senior Analyst Manager Research at Morningstar Investment Advisor India said.

In comparison, Foreign Portfolio Investors (FPIs) registered a robust net inflow of $6 billion during the quarter under review.

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)