Domestic institutional ownership in NSE -Listed companies set to exceed foreign investors
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Domestic institutional ownership in NSE -Listed companies set to exceed foreign investors

Domestic institutional investors (DIIS) Invested almost 1.86 Lakh Crore during the quarter, which ended December and took its share of the holdings in listed companies on NSE to a maximum of 16.9 percent, up from 16.46 percent in the previous quarter.

The proportion of Foreign institutional investors (FIIS) Reduced to a 12-year-old low of 17.23 percent from 17.55 percent during the same period, data from the primeinfobase.com show.

The gap between DII and Fii ownership has decreased to 33 points, a low time. In value terms, DII holdings of 73.46 Lakh Crore are now only 1.92 percent lower than FII holdings, another low time. FII to the DII ownership relationship has decreased to a low time of 1.02 on December 31.

The widest gap between FII and Dii Holding was during the quarter which ended on March 31, 2015, when the DII share was an astonishing 10.31 percent lower than the FII share.

“For several years, FIIS has been the largest non-promoter’s shareholder category in the Indian market with its investment decisions that have a huge impact on the overall direction of the market. This is no longer the case. While FIIS continues to remain an important element, their grip on the Indian capital market has decreased, says Pranav Haldea, CEO, Prime Database Group.

The DII share is likely to surpass Fiis in March the quarter, if the current trend continues.

Domestic funds (MFS) invested almost 1.54 Lakh Crore during the quarter and took its share in companies listed on NSE to another maximum period of 9.93 percent (up from 9.46 percent in the previous quarter).

Life Insurance Corporation of India (LIC)Saw their share in 284 companies where the holding decreases more than 1 percent by 8 BPS to an all-time low of 3.51 percent as on December 31, mainly due to profit booking. LIC increased its share in 71 companies during the quarter while reducing his share in 98 companies. Given that LIC commands a large part of the investments in shares, the total proportion of insurance companies also decreased from 5.21 percent to 5.16 percent.

DIIS increased its allotment most to financial services by 80 BPS to 25.86 percent of their total holding at the end of December, while they reduced their allocation most to energy to 8.88 percent.

Fiis increased its allocation most to information technology (from 8.68 percent to 9.85 percent, while they reduced their allocation most to energy (7.65 percent to 6.30 percent).

The government’s share as a promoter decreased to 9.30 percent from 9.71 percent during the quarter, while the proportion of private promoters decreased to 41.08 percent from 41.33 percent by a net sales value of 50,647 crore. Private promoters decreased their share in 399 companies during the quarter while they increased their share in 121 companies.

The proportion of retail and HNI investors rose to a maximum of 7.69 percent and 2.09 percent respectively.