The industry crossed the $7 billion limit in January 2022. Since then, each fund house has been allowed to invest overseas only up to the headroom it had as of February 1, 2022, as per value research. That limit remains frozen. A fund can reopen for fresh investments only when existing investors redeem their holdings or when a fall in global markets reduces the value of its overseas portfolio, creating room below the frozen limit. Fund houses then allocate that available room, which is why several funds cap fresh SIP investments at Rs 5,000 per month.
