| Feature | FII (Foreign Institutional Investors) | DII (Domestic Institutional Investors) |
|---|---|---|
| Definition | Investors/institutions from outside India investing in Indian markets | Indian institutions investing in Indian markets |
| Examples | JP Morgan, Morgan Stanley, BlackRock, Vanguard | LIC, SBI Mutual Fund, ICICI Prudential, HDFC Mutual Fund |
| Source of Funds | Foreign countries or global funds | Indian banks, insurance companies, mutual funds |
| Currency Used | Invest in Indian markets by converting foreign currency | Invest in Indian Rupees |
| Regulation by | SEBI + RBI (with some foreign investment rules) | SEBI (Domestic norms) |
| Impact on Market | Can cause high volatility due to large inflows/outflows | More stable and long-term focused |
| Investment Horizon | Usually short to medium-term (opportunistic) | Usually long-term (retirement, insurance, mutual funds) |
| Market Reaction | Sudden FII exit can cause a market crash or correction | DII often act as stabilizers in such events |
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November 17 BUSINESS LINE : Indian investors should diversify their portfolios and must have at least 35 per cent of financial assets in securities outside their home country. Global diversification protects the portfolio and boosts returns, said Ketul Sakhpara, co-founder and CIO of BayFort Capital. NEWS LINK
August 16 WHAT? A New Fund Offer (NFO) is the initial subscription period during which a mutual fund scheme is launched and offered to investors for the first time by an Asset Management Company (AMC) in India. It allows investors to purchase units of the new mutual fund at a fixed price, typically ₹10 per unit, before the fund begins regular operations and trading. An NFO is the introductory phase of a mutual fund scheme, where the AMC raises capital from investors to build the fund’s portfolio. It’s similar to...
June 15 SUMMARY The Business Standard article reports that on June 14, 2025, gold and silver prices in India saw slight increases. Key details Gold Prices: The price of 24-carat gold rose by ₹10, with ten grams trading at ₹1,01,410, according to GoodReturns. The price of 22-carat gold also increased by ₹10, with ten grams selling at ₹92,960. In Mumbai, Kolkata, and Chennai, ten grams of 24-carat gold was priced at ₹1,01,410, while in Delhi, it was ₹1,01,560. Silver Prices: The price of...
June 15 SUMMARY The article from Business Standard reports that the combined market capitalization of eight of the top-10 most valued firms in India eroded by ₹1,65,501.49 crore last week, with HDFC Bank being the biggest laggard. Specifically: HDFC Bank saw its valuation drop by ₹47,075.97 crore, bringing its market cap to ₹14,68,777.88 crore. OTHER LOSERS ICICI Bank lost ₹30,677.44 crore, with its market cap at ₹10,10,375.63 crore. Reliance Industries declined by ₹21,516.63 crore, reaching...
June 13
June 13 SUMMARY The Business Standard article reports a significant spike in market volatility in India due to escalating tensions between Iran and Israel on June 13, 2025. WHAT IS A VIX INDEX? CLICK HERE TO KNOW Key points India VIX Surge: The India VIX, a measure of market volatility based on Nifty50 index options, jumped as much as 13.9% to 15.97, marking its steepest rise since May 8, 2025. It later settled with a 10% increase, reflecting heightened investor anxiety. Cause: The volatility was...
June 12 SUMMARY The CNBC TV18 article reports that Systematic Investment Plan (SIP) contributions in India reached an all-time high of ₹26,688 crore in May 2025, according to the Association of Mutual Funds in India (AMFI). This marks a slight increase from ₹26,632 crore in April 2025. The number of active SIP accounts also rose to 8.56 crore in May, up from 8.38 crore in April, with 18 lakh new accounts added during the month. Despite a cleanup of 95 lakh to 1 crore inactive accounts in April, investor interest in SIPs...
June 08 SUMMARY The article from The Financial Express, published on June 8, 2025, titled "Foreign Investors are under invested in India by a trillion dollars," highlights the significant under-allocation of global institutional capital to India. Written by Arvind Chari, Chief Investment Strategist at Q India UK, Ltd, the piece notes that foreign investors hold less than 1% of their global portfolios in Indian public equities, despite India representing ~4% of global GDP and market capitalization....
June 06 SUMMARY The article from The Hindu BusinessLine, published on June 6, 2025, titled "US markets are no longer safe for investments, Carmignac says," reports concerns raised by Raphael Gallardo, chief economist at French asset manager Carmignac, about the U.S. as an investment destination. KEY POINTS Trump’s Tax and Spending Bill: Gallardo warns that President Donald Trump’s tax and spending bill, particularly Section 899 (dubbed the “revenge tax”), increases tax...
May 26 SUMMARY Over the past 10 trading sessions, India's smallcap stocks have experienced a remarkable surge, adding ₹7.3 lakh crore in market capitalization—a 10% rise in the BSE SmallCap index. This rally has been fueled by sectoral tailwinds, particularly in defence and railways, and heightened retail investor enthusiasm. Notable performers include Nelcast and Cosmo First, both up 65%, and GRSE, which gained 55%. Out of nearly 980 stocks in the BSE SmallCap index, fewer than 70 have delivered negative...
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