Investors have assets worth Rs. Increase of Rs 128 lakh crore

Mumbai: The financial year 2023-24, which ended today on March 28, 2024, marked a historic rally for Indian stock markets. This year, Sensex has made a new all-time high of 74245.17 on March 7, 2024. While Nifty 50 spot made a new all-time high of 22526.60 on March 11, 2024. The wealth of equity investors has increased by more than Rs 128 lakh crore in the financial year 2023-24. After modest returns in FY 2022-23, the current financial year has been fruitful for investors. The total market cap of BSE-listed stocks at the end of 2023-24 was Rs 386.97 lakh crore. The total market cap at the beginning of the financial year 2023-24 was Rs 258.19 lakh crore.

After huge buying of shares by domestic institutional investors (DIIs), now foreign portfolio investors (FPIs) have also seen a historic rise in shares through year-end purchases. However, the year resulted in expert warnings of overvaluation risk in small-cap stocks and action against operators by the capital markets regulator Securities and Exchange Board of India (SEBI) along with the Reserve Bank of India (SEBI). Big improvement has been seen in Enforcement Directorate (ED), small, midcap, microcap stocks. But despite this, investors have got the highest returns in small, mid cap and micro cap shares during the year.

In the entire year, Sensex has registered a gain of 14659.83 points i.e. 24.85 percent on closing basis. Whereas in Nifty 50 spot index, a jump of 4967.15 points i.e. 28.61 percent has been recorded. At the end of last year 2022-23, Sensex closed at 58991.52 on March 31, 2023, which today closed at 73651.35 at the end of financial year 2023-24. Whereas Nifty 50 Spot Index closed at 17359.75 on March 31, 2023.

Bank Nifty has increased by 16.04 percent from the level of 40609 on March 31, 2023 to 47125. Whereas Nifty Micro Cap 250 index has increased by 85.11 percent from the level of 10,242 to the level of 18,959. The BSE Small Cap Index gained 60.13 per cent to close at 26,957 on March 31, 2023, and closed at 43,166 on March 28, 2024. BSE Mid Cap Index rose by 63.39 percent from the level of 24,066 to 39,322. The BSE Large Cap index, which stood at 6,584 on March 31, 2023, closed at 8,682, up 31.86 per cent in the year. The total market capitalization of BSE which was Rs 258,19,896 crore at the end of March 31, 2023, increased by 49.88 per cent to Rs 386,97,099 crore during the year.

In the current financial year, Nifty 50 has given a return of 28.60 percent but small cap has achieved huge returns. Strong growth in corporate earnings, economic growth rate, increased capital expenditure by the government and accommodative monetary policy have favored the stock market. Apart from retail investors, domestic institutional investors and foreign investors also played a major role in lifting the market, an analyst said.

Data showed that at the end of the financial year, Sensex, Nifty, each midcap and smallcap index and sectoral indices have shown all-time highs.

Foreign investors have been net buyers of equities in nine out of 12 months of the current financial year. The market cap has increased rapidly as a result of widespread rally in midcap and smallcap stocks in the country's stock markets. Sources at a research firm recently said that apart from new listing of shares, the appreciation seen in prices of previously listed shares has resulted in an increase in market cap.

How much increase in which index in the financial year 2023-24?