♤ Investment by non-residents in Indian securities including shares, government bonds, corporate bonds, convertible securities, infrastructure securities etc.

♤ The class of investors who make investment in these securities are known as Foreign Portfolio Investors.

♤ According to SEBI, any equity investment by non-residents which is less than 10% of capital in a company is portfolio investment. While above this the investment will be counted as Foreign Direct Investment (FDI).

♤ Foreign Portfolio Investors includes investment groups of Foreign Institutional Investors (FIIs), Qualified Foreign Investors (QFIs) (Qualified Foreign Investors) and subaccounts etc.