Archive · 13 Nov 2025
FPI Ownership in Indian Stocks Hits 15-Year Low
Imagine India's stock market as a big pie.
Foreign investors, called FPIs, used to own a big slice, but they've been selling lately, and now their slice is the smallest it's been in 15 years.
This might be because they are looking for better returns elsewhere or taking profits.
On the other hand, investors from within India, like big groups called mutual funds (DMFs) and other institutions (DIIs), are buying more.
Their combined ownership is now the biggest it's been in 22 years!
This is thanks to lots of people regularly putting money into mutual funds through plans like SIPs.
Even the original owners, called promoters, have seen their slice in the biggest companies (Nifty50) shrink to a 23-year low.
Overall, Indian households have seen a small dip in their stock wealth recently, but they've still gained a lot since 2020.
FPI ownership in NSE-listed companies has fallen to a 15-year low of 16.9% as of September.
Domestic mutual fund ownership has increased to 10.9%, marking nine consecutive quarters of growth.
Overall domestic institutional investor ownership has reached 18.75%, the highest in 22 years.
Promoter holdings in Nifty50 firms have declined to a 23-year low of 40%.
Household equity wealth saw a decrease of Rs 2.6 lakh crore in Q2 FY26, though cumulative gains since April 2020 remain substantial.
- Who
- Foreign Portfolio Investors (FPIs), Domestic Mutual Funds (DMFs), individual investors, promoters.
- What
- FPI ownership in NSE-listed companies has fallen to a 15-year low, while domestic institutional investors and mutual funds have increased their holdings to multi-year highs. Promoter holdings in Nifty50 firms have also hit a 23-year low.
- When
- End of September (September 2025 quarter), with data published on a Thursday.
- Where
- NSE-listed companies in India.
- Why
- FPI declines are attributed to global capital flow volatility and profit-booking. Domestic mutual fund increases are driven by strong inflows through Systematic Investment Plans (SIPs).
Domestic Institutional Investors (DIIs & MFs)
Foreign Portfolio Investors (FPIs)
Ownership Trends
Domestic Institutional Investors (DIIs & MFs)
Domestic mutual funds (DMFs) ownership rose to 10.9%, marking the ninth consecutive quarter of increase. Combined with individual investors, overall domestic institutional investor (DII) ownership reached 18.75%, the highest in 22 years.
Foreign Portfolio Investors (FPIs)
Foreign portfolio investors' (FPIs) ownership in NSE-listed companies dropped to 16.9%, a 15-year low, by the end of September.
Sector Stance
Domestic Institutional Investors (DIIs & MFs)
Domestic MFs are overweight on financials and mid-tier consumer discretionary, bearish on consumer staples, and negative on energy and materials.
Foreign Portfolio Investors (FPIs)
FPIs are overweight on the financial sector, positive on communication services, cautious on consumption and commodity-linked sectors (energy, materials, consumer staples), and underweight on industrials.
- FPI Ownership (Sept 2025 Qtr)
- 16.9% (15-year low)
- Domestic Mutual Fund Ownership (Sept 2025 Qtr)
- 10.9% (9 consecutive quarters of increase)
- Total Domestic Institutional Ownership
- 18.75% (highest in 22 years)
- Promoter Holdings (All Companies)
- 50.1% (steady)
- Promoter Holdings (Nifty500 Firms)
- 49.3%
- Promoter Holdings (Nifty50 Firms)
- 40% (23-year low)
- Household Equity Wealth Change (Q2 FY26)
- Declined Rs 2.6 lakh crore
- Cumulative Household Equity Gains (Since April 2020)
- Rs 53 lakh crore
Sources
MF Equity Deployment Hits Six-Month Low
Active vs passive funds: Which performs better? Top 5 funds compared on 1-year and 10-year returns
Markets close flat after roller-coaster ride
FPI ownership in India Inc falls to a 15-year low; domestic investors tighten hold
