RESUMO
The study is about the investment behaviour of “Foreign Institutional Investors” (FII) in the Indian stock market w.r.t their trading behaviour and its impact on stock market movements. We have collected the daily data of investment of FII net equity investments and NIFTY 50 index in Indian stock markets for a long time period from the year 2000 to 2022. The paper used trend analysis and the relationship between FII net equity investments and NIFTY 50 index. The paper found a significant relationship and causality in the direction of NIFTY to FII investments. The FII are found to invest with consistency in the Indian stock market and are also responsible to contribute significantly to the development of the Indian stock market.
RESUMO
Since the liberalization of trade regulations, Foreign Direct Investment (FDI) has played a crucial role in the expansion of Indian economy, both at the macro and sector levels. The connection between FDI and economic expansion is a debatable subject worldwide. The volume of inflow varies due to a variety of regional, national, and global factors that affect investment choices. Critical policy changes and proactive decision-making demonstrated the government's exceptional resilience, which even helped to mitigate the pandemic's harm. The potential impact of FDI on important macroeconomic indicators is examined in this research paper. In order to analyze the trend of the economic route of future, the study shows the sectoral division of FDI influx. Understanding the divides and patterns helped to provide insight on how the economy was evolving. Changes to regimes are still being made by policymakers in an effort to attract FDI