Foreign portfolio investors prune holdings in June quarter, shows data

Foreign portfolio investor (FPI) ownership in listed stocks has come off during the June quarter. Their holding in Nifty 500 stocks declined 60 basis points (bps) to 21.7 per cent, while that in Nifty50 stocks fell 40 bps to 27.4 per cent, as per an analysis done by Motilal Oswal Securities.
 
Even on a year-on-year basis, their holding has declined 90 bps and 140 bps in Nifty 500 and Nifty 50 stocks, respectively. Analysts say the decline in ownership is due to underperformance of financial stocks — the biggest overweight sector for FPIs.

“Financials has had