Life Insurance Corp.
LIC’s holding across 281 NSE-listed firms, where it owns more than 1% of the shareholding, declined to 3.69% of the aggregate market value of these companies as of 30 September, according to data from primeinfobase.com.
LIC, too, has booked profit to take advantage of strong markets,” an analyst said, requesting anonymity.
The analysis showed that LIC cut its stake in 105 companies, in which average stock prices rose 2.39%, while it increased shareholding in 94 companies, the average stock prices of which rose 10%.
Overall, the shareholding of domestic institutional investors, which includes domestic mutual funds, insurance companies, banks, financial institutions and pension funds, fell to a three-year low of 13.12% as of September against 13.94% in the year-ago period.
“FPIs are the largest non-promoter shareholders in the Indian market, and their investment decisions have a huge bearing on the stock prices and overall direction of the market.