Domestic investors pip FPIs to hold all-time high in June 2022 quarter
Domestic investors pip FPIs to hold all-time high in June 2022 quarter
Share of domestic institutional investors (DIIs), which includes domestic mutual funds, insurance companies, banks, financial institutions, pension funds along with retail and High Net-worth Individual (HNI) investors reached an all time high of 23.53 per cent as on June 30, 2022 from 23.34 per cent as on March 31, 2022, on the back of net inflows from DIIs of a huge Rs 1.28 lakh crore during the quarter, as per Primeinfobase, an initiative of PRIME Database Group.
Meanwhile, net outflows from Foreign Portfolio Investors (FPIs) of Rs 1.07 lakh crore during the quarter resulted in FPIs share declining further to a 10-year low of 19.20 per cent as on June 30, 2022, down by 96 bps from 20.16 per cent as on March 31, 2022.
According to Pranav Haldea, Managing Director, PRIME Database Group, this further showcases the rise of domestic investors and the huge counter balancing role they have played to foreign investors. To also put this in perspective, as on March 31, 2015, FPI share was 23.3 per cent while the combined share of DII, retail, and HNI was just 18.47 per cent.
There were 10 companies in which the trinity of promoters, FPIs and DIIs all increased their stake during the quarter these being (in descending order by market capitalisation) Escorts Kubota, Great Eastern Shipping Co, KRBL, Delta Corp, Maharashtra Seamless, NCC, Apcotex Industries, Mold-Tek Packaging, PSP Projects, and Zota Health Care.
Following from the above, the gap between FPI and DII holding decreased to its lowest level in this quarter, DII holding now being just 26.77 per cent lower than FPI holding (on March 31, 2022, DII holding was 31.99 per cent lower than FPI holding). The widest gap between FPI and DII holding was in the quarter ending March 31, 2015, when DII holding was 55.45 per cent lower than FPI holding.
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