Skip to main content

Retail Trades Surge to 15-Year High as Investors Seek to Ride the Recovery



The National Stock Exchange of India Limited is India's leading stock exchange. Increase in retail participation have been long due to come to India and are expected to boost overall financial services industry, and especially stock exchanges. In the last quarter, an average daily turnover of retail investors in cash market touches Rs.39,500 crore in July compared with Rs.7,500 crore for foreign investors and Rs.7,800 crore for DILs.

After hitting a 10-year high of 68% in June, retail participation has risen to 72% of the total cash market turnover so far in July. These levels were last seen in 2005, the mid-point of the 2003-07 bull market. Institutional participation from foreign portfolio investors, domestic mutual funds and insurance companies has contributed to just 28% of the total turnover so far this month.

“All three types of retail investors — day traders, measured investors, fence-sitters — have been aggressively participating in the stock markets since March, an activity which was seen during the bull run in 2003-2007,” said Vijay Chandok, MD, ICICI Securities. “While day traders are vigorously participating due to high volatility, measured investors have jumped into action to rebalance their portfolios. Fear of an uncertain future is driving fence-sitters to the equity market for savings,” he added.

So far in July, the average daily turnover of retail investors in the cash market is ₹39,500 crore compared with ₹7,500 crore for FPIs and ₹7,800 crore for domestic institutional investors. Equity inflows into mutual funds plunged 95% in June and SIPs dipped a bit but investors say that the shift did not happen so much from mutual funds as from banks and corporate FDs. All banks have not benefited from deposit growth, which is about 2.2% since April to June 19 compared with a 0.6% fall last year. The fortnightly year-on-year change till June 19 was 11% compared with 10% a year ago. The stronger private sector banks have benefited from the rise, but the weaker ones have lost out. Many bank deposit rates have also become unattractive, forcing investors to opt for market investments.

Sandip Ginodia , CEO

ALTIUS INVESTECH PVT LTD

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Labels:

Comments

Post a Comment

Please leave your name and email id along with the comment .
Get the updates from this blog direct to your inbox . Fill in your email id on the home page.

Popular posts from this blog

Reliance's JioMart is averaging half a million orders per day; WhatsApp driving growth

  JioMart , Reliance's online-to-offline commerce  platform that launched in May , has scaled up rapidly, riding on the pandemic-fuelled digital acceleration. The service, which went   live in 200 cities across India, is currently processing an average of  500,000 orders per day. " We can go even higher on peak days",  Jio Platforms CEO   Kiran Thomas  revealed at the Facebook for Fuel India 2020 event. He said, "JioMart is empowering millions of  kiranas  and small merchants through the simple and secure platform of WhatsApp, and linking them to Reliance Retail's pan-India supply chain. We expect to grow manifold in future, and are optimistic about enabling new cohorts of users and making it easier for them to shop for daily essentials."  "Customers are transacting seamlessly on JioMart and the  conversational nature of the service  enabled by WhatsApp has made people adapt to it intuitively," he added. Reliance also stated that it will continue t
Post a Comment
Read more

TCS merger with TCS e serve

The board of Tata Consultancy Services (TCS) in its meeting on 18 October 2012 has approved the composite scheme of arrangement between TCS, TCS e-Serve (e-Serve) and TCS e-Serve International (TEIL). The composite scheme of arrangement provides for merger of e-Serve into TCS and demerger of TEIL's special economic zone (SEZ) undertaking(s) to TCS. The appointed date proposed for this scheme is 01 April 2013. TCS holds 96.26% of the paid up equity share capital of e-Serve. TEIL is a wholly owned subsidiary of e-Serve. As per the terms of the scheme of arrangement, shareholders of e-Serve (other than TCS) will receive 13 equity shares of Re 1 each of TCS for every 4 equity shares of Rs 10 each of e-Serve held by them. The board has approved the scheme of merger of Computational Research Laboratories (CRL) and Retail FullServe (RFL) with TCS. The proposed appointed date for the merger of CRL is 01 October 2012 and for the merger of RFL is 01 April 2012. Computational Res
2 comments
Read more

Stock broker SMC Global files for IPO

F inancial services company SMC Global Securities has filed draft red herring prospectus with SEBI for public issue of 1,58,67,380 equity shares of face value of Rs 2 each. The issue comprises a fresh issue of 79,33,690 equity shares by the company and an offer for sale of 79,33,690 shares by Millennium India Acquisition Company Inc. As of September 30, 2012, "We service our broking clients through a network of 43 branches and 2,521 registered sub-brokers and authorized persons spread in more than 500 cities and towns. We have also established an office in Dubai for brokerage and trading activities in that region," the company said. SMC has reported a loss of Rs 0.42 crore and total revenues of Rs 292.24 crore in the year ended March 31, 2012. "The proceeds of the fresh issue shall be utilised for margin maintenance with stock exchanges; part repayment of term loan; investments into subsidiary, SMC Comtrade; and general corporate purposes," according to p
10 comments
Read more