Download or read book Influence Of Changes Of FDI And FII Flows On Indian Stock Market written by Baranidharan S and published by . This book was released on 2020 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The inflow of Foreign Direct Investment and Foreign Institutional Investors has become a strong impression of economic development in both developing and developed countries. The research paper found that values of all variables were higher than 5; it clearly indicates that the variables were non-normal found out by using the Jarque-Bera test. The study exclaimed that there is unidirectional relationship between FDI returns and the nifty returns found out by granger causality test and it explains that FDI helps to predict Nifty returns. Policy makers can make economic enhancing and growth possible based on the research made on economic performance.

Download or read book Foreign Investors Under Stress written by Ila Patnaik and published by International Monetary Fund. This book was released on 2013-05-22 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt: Emerging market policy makers have been concerned about the financial stability implications of financial globalization. These concerns are focused on behavior under stressed conditions. Do tail events in the home country trigger off extreme responses by foreign investors – are foreign investors `fair weather friends'? In this, is there asymmetry between the response of foreign investors to very good versus very bad days? Do foreign investors have a major impact on domestic markets through large inflows or outflows – are they ‘big fish in a small pond’? Do extreme events in world markets induce extreme behavior by foreign investors, thus making them vectors of crisis transmission? We propose a modified event study methodology focused on tail events, which yields evidence on these questions. The results, for India, do not suggest that financial globalization has induced instability on the equity market.

Download or read book Foreign Investment in India written by Chanchal Chopra and published by . This book was released on 2003 with total page 448 pages. Available in PDF, EPUB and Kindle. Book excerpt: In a world of intensifying competition and technological change, the complementary and catalytic role of foreign capital is very valuable. This book presents an emerging scenario in India with regard to different types foreign capital inflows. It examines the trends and patterns of foreign investment in India in the pre and post liberalization periods vis-a-vis the major policy changes during these periods, The book sheds light on significance of foreign investment, emerging markets. It aptly describes how foreign direct investment helps in the economic development of host country by increasing financial resources, providing technology and enhancing professional skills and deliberates on theoretical underpinnings. The statistical profile and analysis provided in the study is revealing. Chapter on Non-resident India's investment in India is thought provoking and provides the policy variables to attract NRI investments. The book also discusses the role of Foreign Institutional Investors (Fll) in the stock market development and analyses how Euro issues phenomenon has emerged after liberalisation. Tax-related issues in respect of foreign investment are discussed to show how the tax incentives to FDI make the investment competitive against domestic companies. Models of foreign direct investment and portfolio investment are given and the determinants of two types of investments are discussed. Since the Vv7O regime is to be fully operational in coming two years, the book analyses the flow of investment in the context of TRIMS, GATS, TRIPs and highlights the implications of proposed agreements on FDI. The book also suggests a strategy to be followed while analyzing the impact of emerging WTO regime on the inflow of foreign investment. This book deals with all aspects of foreign investments and would be of use to all interested in the study of Foreign Investment in India and to policy-makers and students of management, commerce and economics. In a world of intensifying competition and technological change, the complementary and catalytic role of foreign capital is very valuable. This book presents an emerging scenario in India with regard to different types foreign capital inflows. It examines the trends and patterns of foreign investment in India in the pre and post liberalization periods vis-a-vis the major policy changes during these periods, The book sheds light on significance of foreign investment, emerging markets. It aptly describes how foreign direct investment helps in the economic development of host country by increasing financial resources, providing technology and enhancing professional skills and deliberates on theoretical underpinnings. The statistical profile and analysis provided in the study is revealing. Chapter on Non-resident India's investment in India is thought provoking and provides the policy variables to attract NRI investments. The book also discusses the role of Foreign Institutional Investors (Fll) in the stock market development and analyses how Euro issues phenomenon has emerged after liberalisation. Tax-related issues in respect of foreign investment are discussed to show how the tax incentives to FDI make the investment competitive against domestic companies. Models of foreign direct investment and portfolio investment are given and the determinants of two types of investments are discussed. Since the Vv7O regime is to be fully operational in coming two years, the book analyses the flow of investment in the context of TRIMS, GATS, TRIPs and highlights the implications of proposed agreements on FDI. The book also suggests a strategy to be followed while analyzing the impact of emerging WTO regime on the inflow of foreign investment. This book deals with all aspects of foreign investments and would be of use to all interested in the study of Foreign Investment in India and to policy-makers and students of management, commerce and economics.

Download or read book Impact of International Financial Flows on Indian Stock Markets An Empirical Study written by K.S.Venkateswara Kumar and published by . This book was released on 2013 with total page 13 pages. Available in PDF, EPUB and Kindle. Book excerpt: FDI and FII have become instruments of international economic integration and stimulation. Fast growing economies like Singapore, China, Korea etc have registered incredible growth at onset of FDI. Though US captures most of the FDI inflows, developing countries still account for significant growth of FDI and rise in FII. FDI not only gives access to foreign capital but also provides domestic countries with cutting edge technology, desired skill sets, tools of innovation and other complementary skills. The policies drafted to stimulate the flow of foreign capital in to India provided much needed impetus for India to emerge as an attractive destination for foreign investors. External factors such as global economic cues, FDI & FII, Exchange rate and Internal factors such as demand and supply, market cap, EPS generally drive and dictates the Indian stock market. The current paper makes an attempt to study the relationship and impact of FDI & FII on Indian stock market using statistical measures correlation coefficient and multi regression for 12 years data starting from 2001 to 2012. Sensex and Nifty were considered as the representative of stock market as they are the most popular Indian stock market indices.

Download or read book Portfolio Flows Into India written by Mr.James P. F. Gordon and published by International Monetary Fund. This book was released on 2003-01-01 with total page 39 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes the factors affecting portfolio equity flows into India using monthly data. Flows to India are small compared to other emerging markets, but seem to be relatively less volatile. They also seem to be quite resilient. The paper shows that portfolio flows are determined by both external and domestic factors. Among external factors, LIBOR and emerging market stock returns are important, while the primary domestic determinants are the lagged stock return and changes in credit ratings. In quantitative terms, both external and domestic factors are found to be about equally important.

Download or read book Impact of Global Capital Flows on Indian Real Estate and Stock Market written by Taral Pathak and published by . This book was released on 2015 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: The last two decades have witnessed unprecedented amount of international capital flows into emerging economies with an altering trend from official capital flows to private flows, leading to a shift in the nature of the capital flows from long-term to short-term. Concomitant with these trends is the increasing incidence of financial crisis and its contagion effect. The present paper examines the impact of Foreign Institutional Investment (FII) on the variations in the BSE Index, its volume, return, and market capitalization. It also looks into the variations caused in the housing prices [as measured by Consumer Price Index (CPI) of the housing sector and bank credit due to Foreign Direct Investment (FDI) flows]. Monthly data from January 2004 to December 2013 is subjected to a Granger causality approach to investigate the causality between Foreign Institutional Investment (FII) flow, FDI flow and other macroeconomic variables like Foreign exchange reserves, Money supply, and Foreign exchange rates. The Augmented Dickey Fuller (ADF) test has been used to test the stationary nature of data and Johansen's Co-integration Test is used for validating the association of various macroeconomic variables. The results indicate that housing price index granger causes FDI flow in India, while the reverse is not true, though FDI and FII when combined do have a lagged impact on the housing sector. Conversely the FII flows do not granger cause the BSE returns. Neither does the BSE return cause FII flows to India. There is no causality observed between FII flows and the BSE market capitalization, although FDI and FII taken together granger cause the foreign exchange rate and a unidirectional causality from Foreign exchange reserves to FDI and FII flows is noted. It is also observed that money supply, as measured by M3, granger causes FDI and FII flows to India, while the reverse causality is not seen, that is, FDI and FII flows do not granger cause money supply.

Download or read book Impact of FDI and FII on the Indian Stock Market During Recent Recession Period written by Arindam Banerjee and published by . This book was released on 2019 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The era 90's saw very significant policy changes introduced in the sphere of financial sector, foreign trade, public sector and social sector. The year 1991 witnessed the process of liberalization and globalization that hit the Indian economy and pushed our country to break open the -- Inward Looking policy when the emphasis was accorded to protectionism and import substitution. Since 1991, India has proved to be a key player in the world. Ours country interaction has increased with many economies ties, political harmony, tourism trade and services more significantly in the area of investment. The present study was conducted by me with the aim to understand the impact of FDI and FII on Indian Stock Market (BSE and Nifty) during the recession period. It was found from the study that FDI had a significant influence on the Indian Stock market during recession while FII negatively influenced the Indian Stock Market.

Download or read book FII Investment in India written by Dr. Jayesh Desai and published by . This book was released on 2016 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: In India in 1990s in its major policy shift started allowing foreign investment in its financial markets. This led to Foreign Institutional Investors (FII) gradually investing in Indian stock market and starting of a new era in Indian stock markets. Today FIIs have emerged to be one of the most dominant groups of investors with ownership of significant component of traded securities. Nevertheless flow of FII investment in Indian stock market has not remained same throughout. In this context, this paper tries to study trend of FII investment over the period of time. It also tries to find out structural changes in the investment flow of FIIs. Investigation is also done to find if multiple structural breaks are present in FII investment flow over the period of time. Study also tries to identify growth in Investment flow of FII in Indian stock market since liberalisation and it's impact on stock market return.

Download or read book Impact of FII Flows on Indian Capital Market written by Vaishali Jain and published by . This book was released on 2015 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: The progress and prosperity of a nation is reflected by the pace of its sustained economic growth and development which is provided by investment. Not only foreign exchange domestic savings but the magnitude and quality of foreign investment is also necessary for the well being of a country. The Foreign Institutional Investors (FIIs) have emerged as important players in the Indian equity market in the recent past and are gradually becoming one of the major factors that contribute towards the growth of the financial markets, more so in developing economies like India. The main objective was to study the effect of FII flow on capital markets, extent of Granger Causality between FII flows and capital market growth and lead-lag relationship between FII flows and NSE Nifty. The database used for the study is composed of the monthly data of FII flow and NSE Nifty. While selecting the sample certain criteria were followed. While collecting data for FII flows, data pertaining to the equity investment only was used. The data used was collected integration have been computed with the help of Gretl and other relevant software available for statistical analysis. The results of the study did imply that FII investment and NIFITY were influenced by various other macroeconomic fundamentals on the basis of which growth were studied and in any way did not have any causal relationship with each other.

Download or read book Use of Participatory Notes in Indian Equity Markets and Recent Regulatory Changes written by Manmohan Singh and published by International Monetary Fund. This book was released on 2007 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper focuses on the use of participatory notes (PNs) by foreign investors, as a conduit for portfolio flows into Indian equity markets for more than a decade. The broadening of India's foreign investor base, in recent years, has a bias towards hedge funds/unregistered foreign investors who invest primarily via PNs. While tax arbitrage via capital gains tax has almost disappeared since July 2004, it is intriguing to note that since then the demand for PNs has actually increased. The paper suggests some reasons for the continuation of a buoyant market in PNs, and explains the possible impact from the recent regulatory changes.

Download or read book Impact Of Inflows Outflows Of FIIs On Indian Capital Market written by Rahul Singh and published by LAP Lambert Academic Publishing. This book was released on 2014-03 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: An economy, apart from everything else, is a highly fluid transmission mechanism. Its beauty lies in how the smallest of changes have the most complex trickle-down effects. A paradigmatic example of how seemingly minor policy changes can jump start the economy can be illustrated by examining the effects liberalization on capital market in India. The study is going to facilitate the organization in its service quality by knowing about the impact on Indian secondary market due to the fear factor of FIIs. This will help the organization a lot as it will give a clear view of how much it affects our market and the reflection of the Stock Market in the past few years due to FIIs. For the study purpose, I have taken NIFTY & SENSEX i.e. the National Stock Exchange (NSE) & Bombay Stock Exchange (BSE) as benchmark Index in Indian Capital Market.

Download or read book Impact of FII Flows on Indian Capital Markets written by Vaishali Jain and published by . This book was released on 2015 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: The progress and prosperity of a nation is reflected by the pace of its sustained economic growth and development which is provided by investment. Not only foreign exchange reserves, exports, government's revenue, financial position and available supply of domestic savings but the magnitude and quality of foreign investment is also necessary for the well being of a country. The Foreign Institutional Investors (FIIs) have emerged as important players in the Indian equity market in the recent past and are gradually becoming one of the major factors that contribute towards the growth of the financial markets, more so in developing economies like India. The main objective was to study the effect of FII flow on capital markets, extent of Granger Causality between FII flows and capital market growth and lead-lag relationship between FII flows and NSE Nifty. The database used for the study is composed of the monthly data of FII flow and NSE Nifty. While selecting the sample certain criteria were followed. While collecting data for FII flows, data pertaining to the equity investment only was used. The data used was collected from SEBI and major stock exchanges' websites. Findings of stationarity, causality and co integration have been computed with the help of Gretl and other relevant software available for statistical analysis. The results of the study did imply that FII investment and NIFITY were influenced by various other macroeconomic fundamentals on the basis of which growth were studied and in any way did not have any causal relationship with each other.

Download or read book FII Flows to Indian Capital Market written by Gurmeet Singh and published by . This book was released on 2016 with total page 15 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study investigates the cause and effects of foreign institutional investors' investment in Indian by finding the relationship between the foreign institutional investment and financial and real economy variables over the period from January 2007 to March 2014. Johansen's co-integration and vector error correction model have been applied to explore the long-run equilibrium relationship between FII flows and macroeconomic and financial variables. The analysis reveals that the FII's investment in India & variables under the study are co-integrated and, hence, a long-run equilibrium relationship exists between them. It is observed from the VECM that in the long-run, the relationship between the FII investment in India and wholesale price index, index of industrial production and exchange rate are positive. In the Granger causality sense, FII's investment in India causes WIP, Exchange Rate causes FII's investment and there is bidirectional causality exists between FII's investment and index of industrial production. While the findings show the evidence of causality from FII flow to wholesale price index in both long-run and short run but not other way around. Furthermore, it is observed from the findings that FII flow causes exchange rate in long run only. Exchange rate also decides the FII flows in short run.

Download or read book International Capital Flows and Growth in India written by Narayan Sethi and published by . This book was released on 2007 with total page 23 pages. Available in PDF, EPUB and Kindle. Book excerpt: Capital flows are most helpful when the magnitude of those flows is steady and stable. The international capital flow such as direct and portfolio flows has huge contribution to influence the economic behavior of the countries positively. Countries with well developed financial markets gain significantly from Foreign Direct Investment (FDI). The huge volume of capital flows and their influence on the domestic financial markets, understanding the behaviour of the flows becomes very important especially at time liberalizing the capital account. The study attempts to examine the impact of international capital flows on economic growth. The study also examines trends and composition of capital inflows, changing pattern capital flows in view of economic reform, ascertain the impact of domestic financial policy variables on international capital flows and suggest policy implication thereof. By using monthly time series data, we found that Foreign Direct Investment (FDI) is positively affecting the economic growth direct contribution, while Foreign Institutional Investment (FII) is negatively affecting the growth alb its, in a small way and make a preliminary attempt to test whether the international capital flows has positive impact on financial markets and economic growth. The empirical analysis using the time series data between April 1995 to April 2007 shows that FDI plays unambiguous role in contributing to economic growth.

Download or read book Flows of FDI and Indian Stock Market written by Dr. Mayur Shah and published by . This book was released on 2019 with total page 9 pages. Available in PDF, EPUB and Kindle. Book excerpt: Capital is considered to be very important growth in any economy. In case of developing country like India Domestic capital is not sufficient to fulfil the requirement of economy. In that case foreign capital plays a very important role. Foreign Capital comes in two forms- FDI and FII. FDI is considered as a more stable form of foreign capital as compared to FII. Such inflows and outflows directly create impact on stock market. Hence FDIs have emerged as important factor affecting Indian Stock Market. This paper examines the trend and pattern of FDI flow in India and also examines the relationship between FDI and Nifty.

Download or read book Foreign Direct Investment in South Asia written by Pravakar Sahoo and published by Springer Science & Business Media. This book was released on 2013-10-01 with total page 378 pages. Available in PDF, EPUB and Kindle. Book excerpt: During the 1990s, the governments of South Asian countries acted as ‘facilitators’ to attract FDI. As a result, the inflow of FDI increased. However, to become an attractive FDI destination as China, Singapore, or Brazil, South Asia has to improve the local conditions of doing business. This book, based on research that blends theory, empirical evidence, and policy, asks and attempts to answer a few core questions relevant to FDI policy in South Asian countries: Which major reforms have succeeded? What are the factors that influence FDI inflows? What has been the impact of FDI on macroeconomic performance? Which policy priorities/reforms needed to boost FDI are pending? These questions and answers should interest policy makers, academics, and all those interested in FDI in the South Asian region and in India, Pakistan, Bangladesh, Sri Lanka and Pakistan.

Download or read book Managing Capital Flows written by Masahiro Kawai and published by Edward Elgar Publishing. This book was released on 2010-01-01 with total page 465 pages. Available in PDF, EPUB and Kindle. Book excerpt: Managing Capital Flows provides analyses that can help policymakers develop a framework for managing capital flows that is consistent with prudent macroeconomic and financial sector stability. While capital inflows can provide emerging market economies with invaluable benefits in pursuing economic development and growth, they can also pose serious policy challenges for macroeconomic management and financial sector supervision. The expert contributors cover a wide range of issues related to managing capital flows and analyze the experience of emerging Asian economies in dealing with surges in capital inflows. They also discuss possible policy measures to manage capital flows while remaining consistent with the goals of macroeconomic and financial sector stability. Building on this analysis, the book presents options for workable national policies and regional policy cooperation, particularly in exchange rate management. Containing chapters that bring in international experiences relevant to Asia and other emerging market economies, this insightful book will appeal to policymakers in governments and financial institutions, as well as public and private finance experts. It will also be of great interest to advanced students and academic researchers in finance.