Investing Trends

NEW DELHI: Promoters have got raised their
holdings in India’s top companies in the one-fourth ended September 2007
whereas family investors continued to cut down their direct exposure to
equities for a 5th consecutive quarter. According to Lewis Henry Morgan Stanley,
as per the ownership information for India’s top stocks, families have got been
buyers of these top companies pillory in lone six out of the past 26 quarters. In
contrast, FIIs have got been purchasers in 17 out of the past 26 quarters. Observers say
this would propose that retail investors haven’t really participated in a
big manner in the immense stock marketplace mass meeting in the past few calendar months as the bovine spongiform encephalitis index
crosses the 20,000 mark. This information also demoes that institutional
investors were edge network Sellers of these pillory after purchasing them in the
previous quarter. Institutional investors, including domestic common funds,
foreign investors and local institutions, reduced their interest in these 75
companies by 20 footing points. Following this quarter’s data,
FII retentions in India’s top companies are now about 120 footing points off
the high hit two old age ago. Just like the former 10 quarters, majority of the FII
inflows during the one-fourth ended September went into pillory outside the top 75
with a rush into small- and mid-cap stocks. The flowings into the pillory outside
the top name calling aggregated to a humongous $8.4 billion, the best ever and 82%
higher than in the former quarter, states Lewis Henry Morgan Stanley. FIIs
continue to inhabit the place of the 2nd biggest investors in the country
after controlling stakeholders.Domestic investors were distinctly less
enthusiastic about purchasing pillory during the one-fourth ended September with
domestic common finances and families selling stocks. Domestic families have
been shifting their direct ownership of pillory into owning equities via mutual
funds. They reduced their interest by 37 footing points, taking the cumulative
reduction to 8.7% since 2001.