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FII Share in Indian Equities Hits 17-Year Low of 15.1%: Report

12 October 20261 min read
BANKING & FINANCEFII Share in IndianEquities Hits17-Year Low of15.1%: Report12 October 2026safalsetu.com

Why in the news

A report by OmniScience Capital, carried by IANS on 12 October 2026, found that the share of foreign institutional investors (FIIs) in Indian equities has dropped to 15.1%, the lowest in 17 years, although the dollar value of their holdings has grown sharply.

Key facts

  • FII ownership share: now 15.1%, a 17-year low.
  • Holdings growth: about 3.6 times since 2012, from roughly $217.3 billion to about $783 billion.
  • Peak: holdings touched nearly $930 billion in September 2024.
  • Outflows: around $50 billion has left since 2024; currency depreciation has also cut the dollar value of holdings.
  • Domestic investors, including retail, are adding to equities faster than FIIs, aided by households moving savings into financial assets instead of real estate.

FII share and holdings over time

YearFII ownership shareFII holdings (approx.)
201215-16%$217.3 billion
2015about 30%$300 billion
2020about 20%$550 billion
2024about 17%peak $930 billion (Sept)
2026 (now)15.1%$783 billion

About the report

OmniScience Capital is an investment firm; its CEO and Chief Investment Strategist is Vikas Gupta. The study used FPI assets under custody (AUC) data. It notes that domestic equity participation in India is still below the levels seen in developed markets.

Exam angle

  • A falling FII share alongside rising holdings means domestic ownership is expanding faster.
  • Remember the figures: 15.1% share, $783 billion holdings, $930 billion peak (September 2024).
  • Link with themes of financialisation of household savings and retail participation in markets.

Test yourself

1. According to an OmniScience Capital report of October 2026, FII ownership of Indian equities fell to which 17-year low?

The report put the FII ownership share at 15.1%, the lowest in 17 years.

2. FII holdings in Indian equities peaked at about how much in September 2024?

Holdings peaked near $930 billion in September 2024 before falling to about $783 billion.

3. Around 2015, what was the approximate FII ownership share of Indian equities?

The report says the FII share was about 30% in 2015, falling to 20% by 2020.

Sources: DD News (IANS)