Economy

Holdings of MFs, DIIs hit all-time high; FPI ownership at two-year peak

Our Bureau Mumbai | Updated on July 29, 2019 Published on July 29, 2019

However, holdings of insurance firms dip; LIC’s holding slips 1.79% to ₹6.11-lakh cr

Holding of domestic mutual funds in companies listed on the NSE reached an all-time high of 7.35 per cent in terms of value against 7.19 per cent logged in the March quarter.

In absolute value terms, their holding hit a new high of ₹10.89-lakh crore as of June-end, up by 2.4 per cent from March end, according to data of nseinfobase.com, a joint initiative of the NSE and Prime Database Group.

Holdings of domestic institutional investors touched an all-time high of 13.78 per cent in June from 13.69 per cent logged in March. Domestic institutional investors include mutual funds, insurance companies, banks, financial institutions and pension funds.

However, their holding was lower by 30 per cent, compared to foreign portfolio investors’ ownership which was at a two-year high of 19.8 per cent in June.

Pranav Haldea, Managing Director, Prime Database Group, said the gap between DII and FPI holding has shrunk steadily with DII holding 50 per cent lower than FPI in March 2015.

However, over a 10-year period, FPI ownership has increased to 19.8 per cent from 13.6 per cent, while DII ownership has increased only marginally to 13.78 per cent from 11.66 per cent.

In value terms, DII holding increased 0.89 per cent to touch a new high of ₹20.42-lakh crore in June, while that of FPI was at ₹29.36-lakh crore.

Holdings of insurance companies fell 0.53 per cent to ₹7.81-lakh crore in June. LIC’s holding decreased 1.79 per cent to ₹6.11-lakh crore.

Promoter holding

Promoter holding increased marginally to 54.46 per cent from 54.08 per cent in the March quarter. However, over a 10-year period, it decreased to 54.46 per cent in June, from 61.34 per cent, largely due to the minimum public shareholding requirement of 25 per cent prescribed by SEBI.

In value terms, promoter holding more than tripled to ₹73.33-lakh crore from just ₹23.03-lakh crore in June 2009, primarily due to increase in market capitalisation of companies.

Interestingly, while Indian promoters’ holdings have gone down to 44.8 per cent from 54.99 per cent over the last 10 years, foreign promoters’ holdings have gone up to 9.66 per cent from 6.35 per cent.

Retail ownership decreased marginally to 8.37 per cent by value as on June 30, compared to 8.52 per cent as on March 31.

Published on July 29, 2019

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Sincerely,

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.