Archive · 9 Jun 2025
Domestic Investors Overtake Foreign Funds in Indian Market
Imagine India's stock market like a company where investors buy shares.
For a long time, most of the shares were owned by investors from other countries (FPIs).
Now, more shares are owned by investors within India (DIIs).
This means India is becoming more in control of its own financial future.
People in India are investing more money through things like mutual funds and regular investments.
This is good because when foreign investors sell their shares, the Indian market can still do well.
This shift shows that India's economy is getting stronger and relying less on money from other countries.
Domestic institutional investors (DIIs) now hold a larger share of NSE-listed companies than foreign portfolio investors (FPIs).
DIIs held 17.62% compared to FPIs at 17.22% as of March 2025.
The shift marks a significant change in India's capital markets, moving towards domestic ownership.
Mutual fund investments and SIP contributions have greatly fueled DII inflows.
India's markets have shown resilience to global shocks, supported by domestic investors.
- Who
- Domestic institutional investors (DIIs) and Foreign Portfolio Investors (FPIs)
- What
- DIIs have overtaken FPIs in shareholding of companies listed on the NSE.
- When
- As of March 2025 quarter
- Where
- India
- Why
- Indian savings are aligning with Indian aspirations and showing confidence in India's future.
- DII Stake in NSE-listed companies (March 2025)
- 17.62%
- FPI Stake in NSE-listed companies (March 2025)
- 17.22%
- DII Stake in NSE-listed companies (2020)
- 13.58 %
- FPI Stake in NSE market capitalization (2020)
- Over 21%
- Indian Mutual Funds AUM (December 2025)
- ₹60 lakh crore
- Indian Mutual Funds AUM (2020)
- ₹22 lakh crore
- Total SIP collected (March 2025)
- ₹ 25,926 crore
- FPI Outflows (2022)
- ₹1.21 trillion
- Nifty 50 return (2023)
- 20%
Sources
Maharashtra, Karnataka account for 51 pc of FDI in India in FY25: Govt
Maharashtra, Karnataka account for 51 pc of FDI in India in FY25: Govt
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