A Study on Impact of Foreign Institutional Investors on the Indian Stock Market

Abstract

This study aims to comprehensively analysed the impact of Foreign Institutional Investors (FIIs) on the Indian stock market. The influx of FIIs into emerge This study aims to comprehensively analyses the impact of Foreign Institutional Investors (FIIs) on the Indian stock market. The influx of FIIs into emerging markets like India has significantly increased over the past few decades, making it crucial to understand their influence on the market dynamics. Through empirical analysis and data-driven insights, this study investigates the relationship between FIIs and various stock market indicators, including indices, trading volumes, liquidity, volatility, and sectoral performance. By employing advanced econometric models, the study sheds light on both short-term and long-term effects of FII investments, providing valuable insights for investors, policymakers, and market participants. The findings of this research contribute to a deeper understanding of the intricate interactions between FIIs and the Indian stock market, assisting in informed decision-making and policy formulation.