look news india
In the country's stock market, the popularity of Rajma Chawal and Chole Bhature is now more than Vada Pav and Dhokla. Maharashtra and Gujarat are comparable to Delhi and UP. Due to which the stock market has grown more than fourfold in the last four years. The special thing is that people of North India like Delhi and UP have been identified as traditional investors.
People here are seen investing more in property and gold. But in four years, the investors here have changed their investment plan and have shown inclination towards the stock market.
Number of investments made in major states of the country
| Order | State | Increase the number of investors |
| 1 | Delhi | 142% |
| 2 | Rajasthan | 326% |
| 3 | Maharashtra | 181% |
| 4 | Karnataka | 183% |
| 5 | Above | 380% |
| 6 | Madhya Pradesh | 390% |
| 7 | Gujarat | 129% |
| 8 | West Bengal | 189.9% |
| 9 | Andhra Pradesh | 186.2% |
| 10 | Tamil Nadu | 149.0 |
There are also reasons for this
Between April 1 and July 31 this year, 33.3 lakh investors joined in North India, while West India and South India saw 19.6 lakh and 14.9 lakh investors join respectively. According to the information, the number of retail investors has increased nearly 4 times across the country. Most of this growth has come from less accessible markets like Uttar Pradesh, which has a large population but previously lacked access to capital markets. Increased financial literacy and better digital public infrastructure such as UPI and Aadhaar-based eKYC have made access to capital markets easier.
If we look at the data, during Covid, there was an increase in the number of investors in the stock market. Now when the valuation of the stock market has gone down a lot. During the period of low valuation, a crowd of investors, especially young investors, was seen in the stock market. Since then, the trend of investors from the eastern region has increased towards the stock market. Let us try to understand from the data which state has seen an increase in the number of investors in the last four years.
Increase in the number of investors from North to South?
Data shows that the number of investors from the North in the National Stock Exchange has quadrupled since FY20. Which has reached 35.7 million as of July 31. The East, led by the Northeast, Odisha and West Bengal, has also almost quadrupled its investor base. 8.9 million have been added in four years. On the other hand, in the West, which includes the country's financial capital Mumbai and Gujarat, the investor base has almost tripled to about 30 million. If we talk about South India, there has been an increase of 172 percent since FY20. There is now an investment of about Rs 2 crore in South India.
Main reasons for increase in number of investors
Now the rise in per capita income in every region of the country, better internet connectivity and use of Aadhar card have helped in making access to the capital market easier. Which was once limited to metro cities. Now it is gradually increasing. Channels showing market activity, net are useful.
How much increase in Uttar Pradesh's share?
Uttar Pradesh saw its share rise to 11.1 per cent with 11 million investors, up from 2.3 million investors and 7.4 per cent of total registered investors in FY20. Meanwhile, Maharashtra and Gujarat saw a decline in overall investment share. Maharashtra's share with 16.7 million investors declined to 16.8 per cent from 19.2 per cent in FY20, while Gujarat's share with 8.7 million investors declined to 8.8 per cent from 12.2 per cent in FY20.
