FIIs investments cross $4 bn this calendar

Mumbai, March 29 | Updated: Mar 30 2005, 06:04am hrs
The Foreign Institutional Investors (FIIs) have now crossed the $4 billion mark in calendar year 2005. As on March 28, FIIs have been net buyers in the Indian equity markets at $4.1 billion. FIIs took a total of 11 trading sessions (March 10-March 28 2005) to move from the $3 billion mark to the $4 billion mark.

The highest net buying activity of FIIs in CY 2005 was witnessed on March 14, when The Stock Exchange, Mumbai (BSE) was witness to one of the largest set of block deals ever in the India equity markets. FIIs were net buyers to the tune of $663.30 million on March 14 when private equity major Warbug Pincus sold 6.04% holding in Bharti Tele-Ventures Ltd for $560 million.

FIIs also went the whole hog on March 10, when the 30-share benchmark Sensex of BSE closed at a new all-time high of 6,907.65. FIIs, on that day, were net buyers at $299.9 million.

However, when the markets corrected from the record high levels after March 10, FIIs were also partly responsible for the fall by turning net sellers on few occasions between March 15 and March 23.

The cuurent year has witnessed FIIs creating one record after the other in a short span of time. Firstly, FIIs pumped in over $1 billion in just six trading sessions between January 27 and February 3. During this six-day period, the Sensex gained over 7% or 456.99 points.

Secondly, FIIs raced to the $2 billion mark in the shortest span ever of two months. Net FII inflows, as on February 28, was pegged at $2.06 billion.

Then came the $3 billion mark that was crossed in a total of 47 trading sessions.

After the Union Budget 2005-06 was announced on February 28, FIIs took mere eight trading sessions to race to the $3 billion mark.