While overseas investors gave India the cold shoulder in 2024, domestic institutions demonstrated remarkable resilience, maintaining strong inflows. In October, when Indian markets saw the largest foreign institutional investor (FII) sell-off of the year at ₹91,933.64 crore, domestic institutional investors (DIIs) stepped in with the highest monthly net purchases of ₹1,05,253.33 crore.
In fact, 2024 was the fourth consecutive year when DIIs poured more money into markets than FIIs, showed a 2 January IIFL Securities report. Though FIIs returned as net buyers in December, it may be too soon to assume the trend will continue throughout 2025.
"The significant FII selling in the last quarter of 2024 suggests caution, likely driven by a mix of global macroeconomic factors and domestic concerns," according to the research team of Bajaj Broking (Bajaj Financial Securities).
The continuation of this trend in 2025 will depend on how the global economy performs, the actions of the Indian government and the Reserve Bank of India (RBI), and corporate earnings. If global interest rates remain high or inflationary pressures persist, FIIs might continue to favour developed markets, it added.
Denne historien er fra January 07, 2025-utgaven av Mint Chennai.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra January 07, 2025-utgaven av Mint Chennai.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
An ode to the Maximum City of hopes and heartbreak
Murzban F. Shroff's new collection of Mumbai stories chronicles the decline of the city, while celebrating its resilience
From red lights to green: DPI for businesses will spur job creation
Employer Aadhaar and Digilocker will apply Digital Public Infrastructure to compliance and help create high-wage jobs
HDFC Bank NPAs rise amid Q3 agriculture loan defaults
The lender's profit growth was weighed down by asset quality issues and slow loan growth
Address India's worsening urban groundwater crisis
We require innovative solutions that use technology to prevent its depletion and contamination
Netflix surges past 300 mn subscribers
Netflix on Tuesday said it added nearly 19 million subscribers during the holiday season to finish out last year with more than 300 million subscribers.
Dixon Tech: A flurry of acquisitions, capacity expansions
Upwardly mobile
NMC seeks to tighten rules for hiring medical college faculty
India's apex medical education regulatory has proposed new eligibility qualifications for teachers to improve standards as it seeks to weed out ghost faculty and incompetent teachers.
RIL arm acquires sauces brand SIL
Reliance Consumer Products Ltd (RCPL), the consumer goods arm of Reliance Industries Ltd (RIL), announced on Wednesday its acquisition of SIL, a food brand known for sauces and condiments.
Shareholders nix Gokaldas Esop plan
Apparel maker Gokaldas Exports' plan to reward its top executive with a generous stock grant has been blocked by the company's institutional shareholders, more than half of whom voted against the resolution enabling its latest employee stock option plan (Esop).
Garth Hudson wove a musical spell on listeners
Hudson was the last surviving member of the influential rock group The Band
