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The recent rout in Meta Platforms’ share price hits Indian investors

The recent rout in the share price of Facebook parent’s Meta Platforms on Thursday and the estimated $1-trillion loss in the market cap of big US tech giants this week have hit Indian investors quite hard.

Worse still, most of these stocks were already down between 30% and 70% since the beginning of the year. The latest crash would have put further pressure on the investors holding these stocks.

According to data from, Indian mutual funds held stocks worth a little more than `1,100 crore in Meta at the end of September 2022. In total, the schemes had over `12,300 crore invested in top tech companies like Meta, Netflix, Alphabet, Amazon and Microsoft. These holdings would have taken a significant beating in the recent crash.

For example: Meta, alone, is down over 30% in the past month while Alphabet is down around 8%.

Several schemes have invested a substantial portion of their corpus in the technology stocks given their high weighting in indices such as Nasdaq 100 and NYSE FANG. Tech stocks account for over 25% weighting in the S&P 500 index as well.

That’s not all. Indians sent $19.6 billion abroad in FY22 as per the RBI data, of which investment in equity/debt comprised $747 million. Of this, $300 million would have made its way into stocks and ETFs, with 40% or more being invested into technology stocks, industry estimates suggest. Indian Express

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