FII investments continue to surge - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

FII investments continue to surge

Feb 22, 2000

The high valuations in the markets are definitely giving the Indian investors jitters, but foreign institutional investors (FII) seem to be enjoying every bit of it. One just has to take a look at their net investments during the current month.

What is driving this euphoria in buying interest? Software stocks? Media stocks? Pharmaceutical stocks? Indeed there has been large scale buying interest in stocks in these select sectors but it is difficult, not to mention hazardous, to guesstimate the precise parking place of these funds.

Let's consider some facts. The FIIs have invested (net) Rs 19.6 bn during the month to date. That's an average of Rs 1.3 bn per day. The aggregate investment (net) of FIIs in India, in debt and equity, now stands at Rs 378.8 bn.

What these figures fail to reflect however is that FIIs have been aggressively churning their portfolios. In February alone the FII have already made gross purchases of Rs 66.5 bn and effected sales to the tune of Rs 46.9 bn. This surely reflects that FIIs have been aggressively shifting positions and in the process booking profits.

The current interest in the domestic markets has been spurred by the government's recent measures to push forward the second phase of economic reforms. The economic recovery has also contributed in significant measure to this surge in FII inflows. Whether the buying interest will continue unabated, as witnessed so far, will depend, at least partially, on the government's new policy measures. In this regard, the Union Budget will be keenly awaited.

Equitymaster requests your view! Post a comment on "FII investments continue to surge". Click here!

  

More Views on News

The Top 6 Artificial Intelligence Plays in India (Views On News)

Dec 6, 2021

Investors looking to tap into AI theme need to keep an eye on tech firm leveraging the power of AI are making things possible.

6 Penny Stocks that Rallied 1,000%+ in One Year (Views On News)

Dec 6, 2021

These penny stocks shed their penny status by surging 1,000% or more in the last one year.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

All You Need to Know about the Newly Launched Bharat Bond ETF 2032 (Outside View)

Dec 7, 2021

Bharat Bond ETF - 2032 is a new fund offer that will follow a buy-and-hold investment strategy tracking the constituents of Nifty Bharat Bond - April 2032 index.

Stocks You Should Buy, Even if the Market Falls (Profit Hunter)

Dec 7, 2021

Here is how to approach smallcap investing as markets get nervous.

More Views on News

Most Popular

Infosys vs TCS: Which is Better? (Views On News)

Nov 26, 2021

In the post pandemic era, the top two IT companies in India are fighting to capture the growing demand for IT.

This Multibagger Stock Zooms 20% After Dolly Khanna Buys Stake (Views On News)

Nov 24, 2021

Shares of this edible oil company zoomed over 50% in three days after ace investor bought around 1% stake.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

India's Top 5 Monopoly Stocks to Watch Out for (Views On News)

Nov 30, 2021

These 5 companies dominate their sectors with a huge piece of the pie.

The Biggest Winners and Losers in India's Transition to Electric Vehicles (Profit Hunter)

Nov 26, 2021

How India's EV transition could be a major headwind for the incumbents.

More

Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

S&P BSE SENSEX


Dec 7, 2021 12:17 PM

MARKET STATS