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Fewer active investors even as benchmark indices hit record highs

Market volatility and lacklustre 1-yr returns weigh on activity

Photo: Bloomberg
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Between March 2020 and August 2022, the broking industry added an unprecedented 41 million new demat accounts

Sundar SethuramanSamie Modak Mumbai
The active investor count has seen a sustained decline since June, even as the benchmark indices have jumped more than 20 per cent to log fresh lifetime highs. The uncertain economic environment, lacklustre one-year returns, and diminishing retail euphoria have weighed on market participation, according to industry players.

In June, the active client count at the NSE -- the country’s largest stock exchange -- stood at 38 million. At the end of October, the figure declined by 1.3 million to 36.7 million, data provided by CLSA showed. 

Typically, in an upward-trending market, activity picks up. Last October, when the Sensex

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First Published: Nov 24 2022 | 6:00 PM IST

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