Year 2007 was excellent for Indian equity market as the BSE Sensex added 6000 points during the year (from 14,000 to 20,000 levels). Foreign Institute Investors, FIIs showed enormous interest in Indian equity market and made record flows to the tune of over USD 16 billion in single year. Prior to this USD 10.7 billion was second highest flows by FIIs in 2005. It was also record flows by FIIs in single month i.e USD 5.85 billion in July 2007.

However, this was a soft year for Mutual Funds, MFs in terms of investment by MF houses in equity market. Net inflows in the MFs industry has been 1/3rd in 2007 compared with net inflows in 2006.

Flows in 2007

Foreign Inst Investors

Year                 FIIs Flow (USD bn)

2007                 + 16.00

2006                 +  7.99

2005                 + 10.70

2004                 +  8.52

2003                 +  6.59

2002                 +  0.75

2001                 + 2.84

2000                 + 1.38

Mutual Funds

Year                 MFs Flow (Rs cr)

2007                 + 3400

2006                 + 14484

2005                 + 13295

2004                 + 1911

2003                 + 422

2002                 - 2967

2001                 - 5011

2000                 - 609

Inputs from CNBC-TV18's research analyst, Varinder Bansal