Study of the Impact and Intricacies of FII on CNX Nifty and SENSEX

Authors

  • DR. JNANESHWAR PAI MAROOR Assistant Professor
  • Ms. Roshni D’Souza
  • Prof. Rakesh Shetty

Keywords:

FII, Stock Market, SENSEX, NIFTY, SEBI

Abstract

Foreign Institutional Investors are those established and incorporated outside India which intends to make investment in Indian securities market in India. The FII’s can be the banks, large corporate bodies or even representatives of institutions. These mainly deal in hedge funds, insurance companies, mutual funds and pension funds. These FII investments will be under the regulation of SEBI, and are registered in accordance with SEBI Regulations 1995 as FII’s. FII’s can invest in India’s primary and secondary capital markets through Portfolio Investment schemes which allows FII’s to purchase debentures and shares of companies in India through the stock exchanges in India. The maximum amount that can be invested by a FII should be less than 24% of the paid up capital of the companies they invest in India. Reserve Bank of India monitors the compliance of these limits for all foreign institutional investors.  Developing economies like that of India are encouraging FII’s and are having highest volume of FII investments, as countries like India provide growth potential to investors than that of developed economies. 

Additional Files

Published

2017-12-15

How to Cite

MAROOR, D. J. P., D’Souza, M. R., & Shetty, P. R. (2017). Study of the Impact and Intricacies of FII on CNX Nifty and SENSEX. NOLEGEIN- Journal of Entrepreneurship Planning, Development and Management, 1(1), 20–31. Retrieved from https://mbajournals.in/index.php/JoEPDM/article/view/63