Dalal Street.
Not just today, but since the last 1-2 years, both foreign and domestic investors are increasingly betting on the domestic growth story and the potential that India holds to become a global powerhouse.
A reflection of this can be seen in the performance of the S&P BSE Bharat 22 index, which has more than doubled in value in 3 years. In fact, the index hit a lifetime high of 6118.08 points on Friday.
At a time when the sword of a recession was hanging over developed economies such as the US and Europe, India became the fastest growing economy in the world.
The euphoria drove a whopping 28% rally in the Bharat 22 index on a year-to-date basis.
“India continues to be one of the fastest-growing major economies in the World for the 3rd year in a row.
Investments are coming to India since international investors believe they can make better returns in India,” said Sanjay Chawla, CIO — Equity, Baroda BNP
Paribas Mutual Fund.
Let’s take a glimpse of the performance of “BHARAT” stocks on Dalal Street.
Bharat Electronics: The electrical equipment maker’s stock has been one of the best performing in 2023, as it has given more than 43% returns. It has been a key beneficiary of the government’s initiatives to boost local manufacturing of defence equipment.
Foreign portfolio investors raised their stake in the company by 93 basis points sequentially to 17.35% in the June quarter.
Hindustan Aeronautics — This is another public sector major that stole Dalal Street’s attention. The stock has given a whopping 62% returns to investors year-to-date.
For eight consecutive quarters, FPIs have increased their holding in the company. They cumulatively
held 11.9% stake in HAL, compared to a mere 0.9% stake in June 2021.
Amara Raja