The craze of Indian investors about the stock market is at its peak. Never before had people invested so much in stocks. The share of shares in the total savings of the people has increased to 4.8 per cent. For the first time, the share of shares in savings has reached this level. It was 4.3 per cent in March last year. This information has been received from the report of brokerage firm Jefferies.
Earlier in 2008, there was an increase in retail investment in shares.
Prior to this, the largest share of shares in the total savings was seen in 2008. Then it was 4.2 percent. However, traditional assets still have the largest share in savings. Real estate has the largest share of 49 per cent of the total household savings. Gold is at number two. Its share is 15 percent.
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The share of shares in the net worth of the families has increased
According to a Jefferies report, bank deposits account for 15.1 per cent of financial savings. The report also said that the share of financial assets in total savings has increased by 8 basis points in the last 8 years. Analysts said in reports that analysis of household asset holdings shows that the share of shares in the net worth of households has increased. Despite reaching a record high, it is less than 5 per cent.
Mutual funds are the main way of investing in stocks
The report said that although Indians do not earn much, they have a tradition of saving more. According to the Jefferies report, Indians invest in stocks through several channels. The main route among these is mutual funds.
Home buying did not let the market fall
Domestic investment in stocks has been increasing since 2004. There can be good growth in investing in stocks in the coming times. The reason for this is that families in India make annual savings of $ 700 billion. At present, less than 5 per cent of it is going to stocks. Domestic investors have largely handled the fall in the market.
Nifty has gained 11 per cent in the last 12 months. This strength has strengthened in the Nifty despite the $ 28 billion selling of foreign funds in the stock market. The biggest reason for this is the purchase of domestic investors. He has not allowed the heavy selling by foreign investors to affect the market.
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