Manpreet
Foreign Institutional Investors have taken their money out from a number of Inidan companies, owing to the Financial disturbances decreasing their earning potential.
The recent data on BSE companies reveals that FIIs have increased the investment in only a few of the companies; kept the value unchanged in some of these and decreased in a considerable number of firms.
The ones which received the maximum fall in FII investment are- Nagarjuna Construction, LIC Housing Finance, Ultratech Cement and Madhucon Projects.
Handful of those in which the stake was increased are- Zee News, IDFC, Zee Entertainment, Mahindra Lifespace, Lanco Infra, Geodesic and Divi’s Lab.
According to Networth Stock Broking’s research head Deepak Sawhney, many FIIs have been re-structuring their portfolio, avoiding new commitments of funds to any of the companies. The fact that third quarterly results are lying undeclared has added to this behavior of FIIs.
Also, there has been a change in the preference order of sectors, adopted by FIIs. This is evidenced by infusion of money from sectors like commodities, construction and real estate to pharma, power, engineering.
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