look news india
Ahmedabad: In the last three-four years, the interest of retail investors in the Indian stock market has increased. Apart from this, foreign private institutions or investors have been seen making huge investments in India. Even in 2023, foreign players and local institutional investors, mutual fund houses supported the market. In 2023, domestic investors led a $4.2 billion equity selling spree by promoters, foreign investors and individuals.
Promoters were the top sellers in the equity basket with 40 per cent, other foreign investors with 38 per cent and individual traders with 16 per cent, a recent ICICI Securities report said. Apart from this, insurance companies also had 6 percent share in the total sales.
To counter this selling, foreign portfolio investors and mutual funds invested Rs 2100-2100 crore in the Indian stock market.
At the end of January 2024, total FPI holdings in Indian equities will be around Rs. It had reached close to Rs 62 trillion. 380 trillion against total market capitalization. With this, FPI holdings fell to a decade low of 16.3 percent. ICICI Securities said the decline was due to growth in sales and their significant outperformance in smallcaps, where FPIs have lower allocation in their overall portfolio strategy.
So far in 2024, FPIs have sold shares worth $3.5 billion and DIIs have been net buyers of Indian shares worth $5.6 billion.