This report is from this week's CNBC's "Inside India" newsletter which brings you timely, insightful news and market commentary on the emerging powerhouse and the big businesses behind its meteoric rise.
"This particular product, and broadly speaking, the domestic investor, has driven the upsurge in the Indian stock markets," Mahesh Nandurkar, head of India research at Jefferies, told CNBC.
For instance, of the nearly 4,900 actively traded India-listed stocks, 300 stocks had a fall in revenue in the last two consecutive financial years.
Foreign investors have historically had a significant influence on local equity markets.
For now, the savings directed into equity markets are still a tiny proportion of the overall savings Indians put away annually.
Persons:
it's, Mahesh Nandurkar, Hermes, Jonathan Pines, Deepak Jasani, Jefferies, Nandurkar
Organizations:
Association for Mutual Funds, SBI Equity, Opportunities, ICICI Prudential, Advantage Fund, Jefferies, CNBC, Federated Hermes, HDFC Securities
Locations:
India, Japan