After a robust 2023, foreign investors significantly scaled back their investments in Indian equities in 2024, with net inflows amounting to over Rs 5,000 crore, as elevated domestic valuations, coupled with geopolitical uncertainties prompted investors to adopt a more cautious stance. Looking ahead to 2025, FPI flows into Indian equities could see a recovery, supported by a cyclical upswing in corporate earnings, particularly in domestic-oriented sectors like capital goods, manufacturing, and infrastructure, Vinit Bolinjkar, Head of Research, Ventura Securities, said. However, elevated valuations and cheaper alternatives in other emerging markets, such as ASEAN and Latin America, could constrain these inflows. Additionally, lingering concerns over a prolonged global recession may weigh on investor sentiment and appetite for risk assets, he added. On the other hand, Feroze Azeez, Deputy CEO at Anand Rathi Wealth Ltd, believes geopolitical escalations, central bank interest rate cut