The Impact of Foreign and Domestic Institutional Investors on Nifty 50
International Journal of Science and Research (IJSR)

International Journal of Science and Research (IJSR)
Call for Papers | Fully Refereed | Open Access | Double Blind Peer Reviewed

ISSN: 2319-7064


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Research Paper | Finance | India | Volume 14 Issue 5, May 2025 | Popularity: 5.5 / 10


     

The Impact of Foreign and Domestic Institutional Investors on Nifty 50

Aditya Gundiba Pawar


Abstract: This study examines the impact of Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) on Nifty 50 index performance over a ten-year period (2015?2024). Statistical tools such as correlation analysis, regression models, Granger causality, and GARCH are used to evaluate their influence on market movement and volatility. The analysis reveals that FIIs have a significant effect on Nifty 50 returns, while DIIs act as counterbalancing participants without significant directional impact. India VIX, used to measure market volatility, indicates persistence in risk sentiment but does not directly influence institutional flows. These findings offer valuable insights for investors, analysts, and policymakers seeking to understand institutional behaviour in the Indian stock market.


Keywords: FIIs, DIIs, Nifty 50, India VIX, Institutional Flows, GARCH, Granger Causality


Edition: Volume 14 Issue 5, May 2025


Pages: 378 - 380


DOI: https://www.doi.org/10.21275/SR25505101525


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Aditya Gundiba Pawar, "The Impact of Foreign and Domestic Institutional Investors on Nifty 50", International Journal of Science and Research (IJSR), Volume 14 Issue 5, May 2025, pp. 378-380, https://www.ijsr.net/getabstract.php?paperid=SR25505101525, DOI: https://www.doi.org/10.21275/SR25505101525

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