Flows of Foreign Institutional Investments on the Indian Stock Market

Registration ID: IJNRD_199391

Published ID: IJNRD2306314

DOI: http://doi.one/10.1729/Journal.34739

M Javid Khan , Dr. KV. Geetha Devi

FIIs, NSE, Regression, Correlation, Growth Trend

Capital is seen as a very significant component of economic growth. For a developing nation like India, domestic capital is insufficient to meet all of the needs of the economy. In that situation, foreign funding is crucial. There are two types of foreign capital: FDI and FII. Compared to FII, FDI is considered a more reliable foreign money source. However, FII inflows and outflows have a direct influence on the stock market. As a result, FIIs have become important players in the Indian Stock Market. In addition to examining the trend and pattern of FII flow in India, this research also looks at how FII and Nifty are related. Indian stock markets have recently experienced unheard-of expansion. The patterns of foreign investment in the stock markets have changed significantly along with growing development and expansion. In this context, the academic community is increasingly looking into the connection between Nifty and Foreign Institutional Investors (FIIs). This study's main objective is to analyse this link throughout the course of ten years, from 2013 to 2023. The analysis is done on the connection between FII and the returns on the NIFTY50 broad market index. To ascertain the relationship between foreign institutional investors and the nifty, this study uses correlation, regression, and growth trend analysis. The early 1990s saw the beginning of the financial sector reform, which completely altered India's development plan. The initial strategy of primarily using loan flows and official development aid to finance the current account deficit has changed to utilizing non-debt-creating capital flows. Foreign Institutional Investors (FIIs) have been permitted to invest in financial products in India under this strategy since September 14, 1992, and as a result, the volume, size, depth, and nature of the Indian financial markets have significantly changed. FIIs are crucial to emerging economies because they provide capital and funds to companies in developing nations. Since large corporations like investment banks, mutual funds, etc. invest a sizable sum of money in the Indian markets, foreign institutional investors play a crucial role in any economy. Hedge funds, mutual funds, insurance providers, and investment banks are typical examples of these investors. In most cases, FIIs have stock positions in international financial markets. Because of the healthy influx of cash as a result, the capital structures of the companies that FIIs participate in often have improved. As a result, FIIs support capital market expansion and financial innovation. The domestic financial markets may experience a sharp swing as a result of an FII's arrival.

Published Paper   E-Certificate

M Javid Khan & Dr. KV. Geetha Devi (June-2023). Flows of Foreign Institutional Investments on the Indian Stock Market. INTERNATIONAL JOURNAL OF NOVEL RESEARCH AND DEVELOPMENT, 8(6), d131-d143. http://doi.one/10.1729/Journal.34739

Volume 8 Issue 6, June-2023

Pages : d131-d143

Paper Reg. ID: IJNRD_199391

Published Paper Id: IJNRD2306314

Downloads: 000121985

Research Area: Management

Country: Annamaya, Andhra Pradesh, India

Published Paper PDF: https://ijnrd.org/papers/IJNRD2306314.pdf

Published Paper URL: https://ijnrd.org/viewpaperforall?paper=IJNRD2306314

Crossref DOI: http://doi.one/10.1729/Journal.34739

Journal Name: INTERNATIONAL JOURNAL OF NOVEL RESEARCH AND DEVELOPMENT(IJNRD)

ISSN: 2456-4184 | IMPACT FACTOR: 8.76 Calculated By Google Scholar | ESTD YEAR: 2016

An International Scholarly Open Access Journal, Peer-Reviewed, Refereed Journal Impact Factor 8.76 Calculate by Google Scholar and Semantic Scholar | AI-Powered Research Tool, Multidisciplinary, Monthly, Multilanguage Journal Indexing in All Major Database & Metadata, Citation Generator

Publisher: IJNRD (IJ Publication) Janvi Wave | IJNRD.ORG | IJNRD.COM | IJPUB.ORG

This work is licensed under a Creative Commons Attribution 4.0 International License and The Open Definition

Call For Paper - Volume 10 | Issue 10 | October 2025

IJNRD is a Scholarly Open Access, Peer-reviewed, and Refereed Journal with a High Impact Factor of 8.76 (calculated by Google Scholar & Semantic Scholar | AI-Powered Research Tool). It is a Multidisciplinary, Monthly, Low-Cost Journal that follows UGC CARE 2025 Peer-Reviewed Journal Policy norms, Scopus journal standards, and Transparent Peer Review practices to ensure quality and credibility. IJNRD provides indexing in all major databases & metadata repositories, a citation generator, and Digital Object Identifier (DOI) for every published article with full open-access visibility.

The INTERNATIONAL JOURNAL OF NOVEL RESEARCH AND DEVELOPMENT (IJNRD) aims to advance applied, theoretical, and experimental research across diverse fields. Its goal is to promote global scientific information exchange among researchers, developers, engineers, academicians, and practitioners. IJNRD serves as a platform where educators and professionals can share research evidence, models of best practice, and innovative ideas, contributing to academic growth and industry relevance.

Indexing Coverage includes Google Scholar, SSRN, ResearcherID-Publons, Semantic Scholar (AI-Powered Research Tool), Microsoft Academic, Academia.edu, arXiv.org, ResearchGate, CiteSeerX, ResearcherID (Thomson Reuters), Mendeley, DocStoc, ISSUU, Scribd, and many more recognized academic repositories.

How to submit the paper?

Important Dates for Current issue

Paper Submission Open For: October 2025

Current Issue: Volume 10 | Issue 10 | October 2025

Impact Factor: 8.76

Last Date for Paper Submission: Till 31-Oct-2025

Notification of Review Result: Within 1-2 Days after Submitting paper.

Publication of Paper: Within 01-02 Days after Submititng documents.

Frequency: Monthly (12 issue Annually).

Journal Type: IJNRD is an International Peer-reviewed, Refereed, and Open Access Journal with Transparent Peer Review as per the new UGC CARE 2025 guidelines, offering low-cost multidisciplinary publication with Crossref DOI and global indexing.

Subject Category: Research Area

Call for Paper: More Details