QFIs begin India play with blue chips; buy RIL share

Written by Press Trust of India | New Delhi | Updated: Oct 23 2012, 07:13am hrs
Qualified Foreign Investors, a newly created category for simplified investment process for overseas entities, have put their bets on large blue-chips like Reliance Industries, TCS, ITC, SBI and HDFC Bank for their initial investments into the country.

As per the latest shareholding data disclosed by the top 100 blue-chip companies in terms of market value for the July-September quarter, the QFIs hold the maximum number of shares in ITC, followed by Power Grid, Bharti Airtel and HDFC Bank.

They also hold 1,816 shares in Hindustan Unilever, 1,157 shares in Reliance Industries, 685 shares in TCS, 415 shares in SBI and 229 shares in Infosys.

At current market prices, these shares are worth a combined Rs 1.19 crore and apparently indicate that QFIs have made a rather cautious beginning. There were no records of QFI investments in these counters in April-June quarter.

A qualified foreign institutional investor (QFI) is an individual, group or association resident in a foreign country that is compliant with Financial Action Task Force (FATF) standards. QFIs do not include FIIs/sub-accounts.