FIIs Invest 
6,500 Crore in First Week of New Year
Mumbai: Overseas investors have pumped nearly 
6,500 crore into the Indian market, including stocks and bonds, in the first week of the New Year.
Between January 2-6, Foreign Institutional Investors (FIIs) purchased equities and debt securities worth a gross amount of 15,168 crore. However, they also sold shares and bonds worth 8,674 crore in the same period, translating into a net investment of 6,494 crore, according to information available with market regulator SEBI. Market experts believe that positive global cues along with lower food inflation number helped boost investors? confidence in the market during the week.
Investors were more bullish on the debt market in the first week, making a net investment of 5,488 crore, while their investment in stocks stood at 1,006 crore. Buoyed by FII inflows, the stock market barometer, Sensex, gained 413 points or 2.67 percent to close at 15,867.73 on the last trading session on Friday.
Meanwhile, an announcement was made by the Government on January 1, thereby, allowing Qualified Foreign Investors (QFI), including overseas individuals, to invest directly in Indian stock markets. This has been done with the intention of widening the profile of investors and attracting more foreign funds in the wake of FII money being withdrawn from the markets.
The move is also expected to reduce market volatility and deepen the Indian stock markets. Earlier, QFIs were permitted to invest only in mutual find schemes. Foreign nationals could earlier invest into Indian markets through opening accounts with SEBI registered FIIs or through participatory notes.
In 2011, FIIs purchased stocks and bonds worth 8 lakh crore, but sold securities worth 7.9 lakh crore, resulting into an investment of 1,7480 crore. However, investors have flocked towards the debt market and made an investment of 20,293 in 2011, while at the same time they stayed away from equity market and pulled out 2,812 crore.
Source: PTI
6,500 crore into the Indian market, including stocks and bonds, in the first week of the New Year.
Between January 2-6, Foreign Institutional Investors (FIIs) purchased equities and debt securities worth a gross amount of 15,168 crore. However, they also sold shares and bonds worth 8,674 crore in the same period, translating into a net investment of 6,494 crore, according to information available with market regulator SEBI. Market experts believe that positive global cues along with lower food inflation number helped boost investors? confidence in the market during the week.
Investors were more bullish on the debt market in the first week, making a net investment of 5,488 crore, while their investment in stocks stood at 1,006 crore. Buoyed by FII inflows, the stock market barometer, Sensex, gained 413 points or 2.67 percent to close at 15,867.73 on the last trading session on Friday.
Meanwhile, an announcement was made by the Government on January 1, thereby, allowing Qualified Foreign Investors (QFI), including overseas individuals, to invest directly in Indian stock markets. This has been done with the intention of widening the profile of investors and attracting more foreign funds in the wake of FII money being withdrawn from the markets.
The move is also expected to reduce market volatility and deepen the Indian stock markets. Earlier, QFIs were permitted to invest only in mutual find schemes. Foreign nationals could earlier invest into Indian markets through opening accounts with SEBI registered FIIs or through participatory notes.
In 2011, FIIs purchased stocks and bonds worth 8 lakh crore, but sold securities worth 7.9 lakh crore, resulting into an investment of 1,7480 crore. However, investors have flocked towards the debt market and made an investment of 20,293 in 2011, while at the same time they stayed away from equity market and pulled out 2,812 crore.