An institution registered outside India that invests in Indian financial assets — equities and debt — without seeking a controlling stake. This portfolio route is distinguished from Foreign Direct Investment, which takes a lasting management interest, and portfolio flows are the more volatile of the two.
Who runs itRegistered and regulated by the Securities and Exchange Board of India (SEBI); the category is now formally Foreign Portfolio Investor.
Why it is examinedThe FDI-versus-FPI distinction, hot money and its effect on the rupee and the current account, are standing Economy questions.
Verify the standing facts against the official source: SEBI ↗