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FII stock ownership plunges to 19.9%, value down to $582 billion YTD

During the current fiscal till early this week, the cumulative FPI outflows touched a record $14.6 billion of which March alone saw them taking out as much as $5.4 billion, while February saw another record pullout to the tune of $4.7 billion, according to an analysis by Wall Street brokerage Bank of America Securities India.

March 30, 2022 / 08:27 PM IST
Representative image

Representative image

After the record $23 billion of additional investments in the domestic equities in FY21, foreign funds have massively slashed their fresh exposure to the country to $3.7 billion in FY22, also pairing down their holdings in NSE500 to 19.9 percent or worth $582 billion, down from their peak of 21.4 percent, shows a brokerage report.

During the current fiscal till early this week, the cumulative FPI outflows touched a record $14.6 billion of which March alone saw them taking out as much as $5.4 billion, while February saw another record pullout to the tune of $4.7 billion, according to an analysis by Wall Street brokerage Bank of America Securities India.

FPI holdings value stood at $582 billion as of March 15, 2022 (down from $667 billion in September 2021 peak), of which, IT (15 percent, up 87 bps), energy (15.5 percent, up 44 bps), healthcare (4.9 percent, up 22 bps) saw higher allocation. On the other hand, allocation to financials was down 107 bps to 31.5 percent, discretionary down by 49 bps to 9.1 percent.

As against this the domestic funds' holding in the NE universe stood at $265 billion only as of February 2022, on the back of $13.1 billion fresh allocation. However, the FPI holding value is massively down from the record $667 billion in the first half of FY22, which was an addition of a full $112 billion between April 1 and September 30, 2021, according to a previous BofA report.