Investment via P-Notes Raises to 
2.58 Lakh Cr in Oct
The drop in investment via P-Notes during June August comes amid Supreme Court-appointed Special Investigation Team (SIT) on black money asking Sebi to review its regulations on participatory notes to help identify the end users of these instruments.
However, the government later said it has no intention of banning this financial instrument overnight.
Responding to a query on apprehensions that P-Notes are being misused, Sebi chief UK Sinha had last month said the regulator has all the data about entities who are using this.
The quantum (percentage) of FII investments via P-Notes remain unchanged at 11 pct.
Till a few years ago, P-Notes used to account for more than 50 pct of total FII investment, but their share has fallen over the years after Sebi tightened disclosure norms and other related regulations.
As things stand, P-Notes make up around 15-20 pct of the total FII investment in India since 2009. While it used to be much higher 25-40 pct in 2008, the reading was as high as over 50 pct at the peak of stock market bull run in 2007.
In absolute terms, the value of P-Notes investment rose to a record of 
4.5 lakh crore in October 2007, but dropped to 3.22 lakh crore in February 2008 and 60,948 crore in February 2009.
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