Indian Market Outflows: Why FIIs Are Doubling Down on 360 ONE WAM and Redington

The Indian stock market experienced significant Foreign Institutional Investor (FII) outflows, amounting to Rs 256,201 crore from January to October 2025, indicating a dip in foreign investor confidence. However, amidst this trend, 360 ONE WAM Ltd and Redington Limited have shown remarkable resilience, attracting and retaining FII investment.

360 ONE WAM Ltd, a leading private wealth management firm, has seen its FII holding surge from around 20% in March 2020 to approximately 65.87% by September 2025. The company has reported strong financial performance, with revenue growing at a 19% CAGR, EBITDA at 24% CAGR, and net profits at a 40% CAGR over the last five fiscal years. Its share price has jumped over 350% in the same period. While trading at a P/E of 39x, notably higher than the industry median of 17x, it offers a dividend yield of 1.11%, significantly above the industry median.

Redington Limited, a major distributor of IT and mobility products, also boasts a substantial FII holding of almost 62%. Its sales have grown at a 14% CAGR, EBITDA at 15% CAGR, and net profits at an 18% CAGR from FY20 to FY25. The company's stock has appreciated by 378% in the last five years. Trading at a P/E of 18x, lower than the industry median of 37x, Redington offers a dividend yield of 2.21%.

Impact

This news highlights companies with strong fundamentals and consistent profit-sharing mechanisms that can attract and retain foreign investment even during periods of market uncertainty. It may prompt investors to examine these stocks for potential opportunities and could influence sentiment towards similar resilient companies within their respective sectors.

Impact Rating: 6/10

Difficult Terms:

FII Outflow: Refers to the net amount of money withdrawn by foreign institutional investors from a country's financial markets.

Market Cap (Market Capitalization): The total market value of a company's outstanding shares, calculated by multiplying the current share price by the total number of shares.

Wealth Manager: A professional or firm that provides financial advice and management services to clients, often high-net-worth individuals, to manage their assets and investments.

Portfolio Management Services (PMS): An investment service offered by professional money managers to individuals or institutions, involving active management of a portfolio of securities.

High Networth Individuals (HNIs): Individuals who possess a substantial amount of financial assets, typically defined as having investable assets exceeding a certain threshold.

CAGR (Compound Annual Growth Rate): The average annual growth rate of an investment over a specified period, assuming profits are reinvested.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization): A measure of a company's operating performance, excluding the impact of financing decisions, accounting decisions, and tax environments.

Net Profits: The profit remaining after all expenses, interest, taxes, depreciation, and amortization have been deducted from total revenue.

P/E Ratio (Price-to-Earnings Ratio): A valuation metric that compares a company's stock price to its earnings per share. It indicates how much investors are willing to pay for each dollar of earnings.

Industry Median: The middle value in a dataset of financial metrics for companies within the same industry, used as a benchmark.

Dividend Yield: The ratio of a company's annual dividend per share to its current market price per share, expressed as a percentage.

Dividend Payout Ratio: The proportion of a company's earnings that is paid out to shareholders as dividends.

DIIs (Domestic Institutional Investors): Institutional investors based within a country that invest in its financial markets, such as mutual funds, insurance companies, and pension funds.