Foreign institutional investors (FII) bought shares worth a net Rs 1785.21 crore while domestic institutional investors (DII) purchased shares worth a net Rs 529.47 crore on Wednesday, February 1, 2023, according to the data available on NSE. In the month of January, FIIs sold shares worth a net of Rs 41,464.73 crore while DIIs purchased equities worth a net of Rs 33,411.85 crore.
Foreign institutional investors (FII) or Foreign portfolio investors (FPI) are those who invest in the financial assets of a country while not being part of it. On the other hand, domestic institutional investors (DII), as the name suggests, invest in the country they’re living in. Political and economic trends impact the investment decisions of both FIIs and DIIs. Additionally, both types of investors — foreign institutional investors (FIIs) and domestic institutional investors (DIIs) — can impact the economy’s net investment flows.
The domestic equity indices ended the previous session on a mixed note with BSE Sensex rising 158.18 pts or 0.27% to close at 59,708.08 and the Nifty 50 falling 45.85 pts or 0.26% to 17,616.30.
“Union Budget 2023 turned out to be excellent from the market perspective. Fiscal prudence, the clear glide path for fiscal consolidation, massive capex of Rs 10 lakh crores, relief to income taxpayers, credible growth and tax projections for FY24 and above all the growth orientation of the Budget make it market-friendly. The excessive volatility triggered by the crash in Adani stocks will die down after some time. FIIs will have to invest in India if they are to benefit from the India Growth Story. Meanwhile, the situation in the mother market of the US is slowly improving. The expected reduction in rate hike to 25bp and the slightly less hawkish commentary are positive for global equity markets. Investors may do calibrated buying in high-quality large-caps. IT and capital goods stocks are on a strong wicket,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.