Domestic Institutional Investors

Domestic institutional investors' ownership in NSE-listed firms climbed to 18.26% in September 2025, while FPIs' holdings dropped to a 13-year low of 16.71%, Prime Database said

DIIs' steady inflows, backed by retail investors and long-term capital, have made Indian markets more self-reliant and less vulnerable to global shocks

₹94,829 cr August DII inflows second-highest after October 2024

Domestic institutional investors, led by mutual funds, have invested Rs 7.1 trillion in equities over the past year, cushioning markets from persistent FPI selling

With enough firepower to counter FIIs, DIIs have made India's equity market more resilient, but what's driving the shift?

DII ownership reached a new all-time high of 17.82 per cent as of June 2025, up from 17.62 per cent at the end of March 2025, according to an analysis by Prime Database

Domestic institutions step up as foreign inflows fall amid evolving macroeconomic scenario, credit flow and inflationary pressures

While acknowledging that valuations appear stretched, Standard Chartered noted that Nifty's 12-month forward P/E ratio of 20.6x is above its long-term average of 18.2x but still below recent peaks.

Value of DII holdings reaches Rs 71.76 trn, 2 per cent higher than their foreign counterparts

Analysts believe that pharma shares continue to see buying interest, given the inelastic demand for medicines; tariffs, if any could have minimal impact on the industry.

According to ACE Equity data, LIC and ICICI Prudential fund held more than 5% stake in IndusInd Bank; another 13 fund houses owned more than 1 per cent equity of the bank as of December quarter.

At the end of December, DIIs had a share of 16.9% compared to 17.2% of FPIs

Technical charts suggest that HEG stock is likely to witness another 25 per cent fall from present levels; while Nuvama Wealth could witness a relief rally towards Rs 6,125.

Institutional investments in Indian real estate rose 61 per cent to USD 6.8 billion last year but attracting funds could be challenging in 2025 due to global uncertainties, according to Vestian. Institutional investments stood at USD 4.3 billion in 2023, real estate consultant Vestian said in a statement. Shrinivas Rao, CEO of Vestian, said, "Despite a slow start, the real estate sector received significant institutional investments in 2024, surpassing pre-pandemic levels." However, Rao said, "2025 is expected to be challenging due to increasing geopolitical friction, a slowdown in the global economy, and elevated inflation levels." Out of the total institutional investments, the residential sector reported investments worth USD 2 billion, accounting for 30 per cent of share. Investments in housing segment rose by 171 per cent in 2024 over the previous year. Commercial assets, which include office, retail, co-working, and hospitality projects, received 35 per cent of the total ..

Self-drive car-sharing platform Zoomcar on Friday said it has raised USD 9.15 million (about Rs 76 crore) from institutional investors. The proceeds will be used for repayment of approximately USD 3.8 million in debt and the remaining amount for general corporate purposes and working capital needs. In connection with the private placement, the company said it issued an aggregate of 2,137,850 units, with each unit sold at an effective price of USD 4.28 per unit and consisting of one share of common stock, two Series A warrants, each exercisable for one share of common stock at an initial exercise price of USD 4.03 per share. "This resulted in the issuance of Series A warrants exercisable for an aggregate of up to 4,275,700 shares common stock, and one Series B warrant at an exercise price of USD 0.0001 to purchase such number of shares of common stock," it added. The Series A warrants have a term of 5 years, and the Series B warrants are exercisable until exercised in full, Zoomcar

In a show of strength, DIIs have made their three largest single-day purchases in October, injecting liquidity into the market amidst FPIs' exodus

Derivatives market update for Sept 03: The Nifty September futures premium tumbled from Rs 141 on Friday to Rs 61 on Monday. DIIs added fresh longs in Nifty futures, while FIIs sold.

However, it highlighted that there is a struggle to access trustworthy ESG data

India's market cap rises by Rs 25.5 trillion to Rs 463 ($5.5 trillion) in July

Between January and May 28, DIIs have purchased shares worth Rs 1.97 trillion. In May alone, DIIs bought shares worth Rs 44,952.16 crore