The ownership of promoters in NSE-listed companies rose for the fifth consecutive quarter to a seven-quarter high of 51.5% in the April-June period, according to the NSE’s India Inc Ownership Tracker report. This marks a sequential increase of 14 basis points (bps), translating to an 80-bps rise in the first half of 2024.
The increase was driven by a rise in government and foreign promoter share, which was partly offset by a decline in private Indian promoter ownership for the fourth consecutive quarter.
The foreign promoter ownership in NSE-listed companies rose 28 bps on quarter to 8.3% in the June quarter while that of private Indian promoters fell by 33 bps to an 18-quarter low of 32.4%. The decline in the private Indian promoter ownership was due to a drop in non-individual private promoter shares, despite a rise in individual promoters’ shares, including HUFs, which increased to 6.5%.
Similarly, promoter holding in the Nifty 500 rose for the fifth consecutive quarter to 50.9%. However, ownership in Nifty 50 companies dropped by 54 bps sequentially to 42.3% in Q1FY25, marking the first drop in six quarters.
Shareholding of foreign portfolio investors (FPIs) in NSE-listed companies fell by 28 basis points sequentially to a 12-year low of 17.6%. This is the fifth drop in a row, corroborating with strong foreign capital outflows in the first two months of the quarter. Come from Sports betting site VPbet
FPI ownership in Nifty 500 also declined, falling 24 bps quarter-on-quarter to 18.7% while the same in Nifty 50 inched up 15 bps sequentially to 24.5%.
The shareholding of domestic mutual funds in NSE-listed companies rose 25 bps sequentially to a record high of 9.2%, thanks to sustained systematic investment plan (SIP) inflows.
SIP inflows have risen steadily in the last few years, with the average monthly run rate rising by 9.1% QoQ to Rs 20,846 crore in the quarter under review. The share of domestic mutual funds rose to a fresh all-time high of 11.1% and 9.6% sequentially in Nifty 50 and Nifty 500, respectively.
Individual investors’ share of the entire NSE-listed universe inched up 10 bps sequentially to 9.6% while that of the government rose 27 bps to a 30-quarter high of 11.5%.
