Never miss a great news story!
Get instant notifications from Economic Times
AllowNot now


You can switch off notifications anytime using browser settings.
11,937.5016.0
Stock Analysis, IPO, Mutual Funds, Bonds & More

FIIs outpace domestic investors in BSE200

Every one stock held by domestic institutions, foreign funds own two, indicating higher holding of FIIs in these companies.

Updated: Aug 16, 2014, 12.12 PM IST
0Comments
Investments by foreign and domestic institutional investors in Indian equities have seen a marked change in the past fi ve years, with FIIs outpacing local funds by a big margin.

According to data provided by brokerage firm Motilal Oswal, the ratio of investment by foreign institutional investors compared with domestic institutional investors in BSE 200 companies has gone up to 2:1 in June this year from 1:4 five years ago. This shows that for every one stock held by domestic institutions, foreign funds own two, indicating higher holding of FIIs in these companies.

Three factors contributed to this increased buying by FIIs, the latest being the formation of a stable government in New Delhi with the main ruling party having a majority on its own. The rupee’s fall against the dollar and attractive valuations were the other main reasons that led to increased foreign fund fl ows. In the past one year, the sharpest change in the FII-DII ratio was seen in sectors such as infra, tech, telecom and NBFCs.

FIIs outpace domestic investors in BSE200

Comments
Add Your Comments
Commenting feature is disabled in your country/region.
Download The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.

Other useful Links


Follow us on


Download et app


Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service