FIIs richer by Rs 6,000 crore

Foreign institutional investors have struck pay dirt in the current market rally. They've become richer by almost Rs 6,000 crore (Rs 60 billion).

The market value of FIIs' investments in 408 key Indian companies appreciated by 11.04 per cent (Rs 5,948 crore (Rs 59.48 billion)), from Rs 53,853 crore (Rs 538.53 billion) on June 30, 2003 to Rs 59,800 crore (Rs 598 billion) on August 14.

As a result, FIIs have been able to beat the benchmark index, the Bombay Stock Exchange Sensex, which gained 8.71 per cent in the same period.

In value terms, FIIs reported the highest gain of Rs 774 crore (Rs 7.74 billion) on their investments in Reliance Industries' shares.

They held 16.31 per cent of Reliance's equity at the end of June 2003 and the market value of these investments increased from Rs 7,393 crore (Rs 73.93 billion) on June 30 to Rs 8,167 crore (Rs 81.67 billion) on August 14, assuming they held on to the portfolio last declared on June 30.

The Reliance share price went up by 10.47 per cent, from Rs 324.60 to Rs 358.60, between June 30 and August 14.

The second-highest profit came from their investments in housing finance major HDFC. FIIs earned a profit of Rs 608 crore (Rs 6.08 billion) as the market value of their HDFC holdings went up from Rs 5,344 crore (Rs 53.44 billion) to Rs 5,953 crore (Rs 59.53 billion).

On June 30, the FIIs held 53.68 per cent of the equity holding of the company.

FII investments in Infosys Technologies got them the third-largest gains. They raked in Rs 408 crore (Rs 4.08 billion) in (notional) profits, as the market value of their holdings increased from Rs 8,652 crore (Rs 86.52 billion) to Rs 9,060 crore (Rs 90.60 billion).

As the price of the Zee Telefilms' stock rose by 33.52 per cent, from Rs 88.15 on June 30 to Rs 117.70 on August 14, FIIs that held on to their holdings were Rs 359 crore (Rs 3.59 billion) richer.

The market value of their investments surged from Rs 1,070 crore (Rs 10.70 billion) to Rs 1,429 crore (Rs 14.29 billion).

FIIs also gained substantially by the market value of the State Bank of India (Rs 282 crore – 2.82 Rs billion), Tata Engineering (to be renamed Tata Motors, -- Rs 278 crore or Rs.278 billion), Ranbaxy Laboratories (Rs 224 crore -- Rs 2.24 billion), Grasim Industries (Rs 189 crore -- Rs 1.89 billion) and Hindalco (Rs 176 crore -- Rs 1.76 billion) shooting up.

However, in another 107 companies the market value of the FII holdings dropped by Rs 240 crore (Rs 2.40 billion), from Rs 11,498 crore (Rs 114.98 billion) to Rs 11,257 crore (Rs 112.57 billion).

These companies include Dr Reddy's Laboratories (Rs 52 crore -- Rs 520 million), NIIT (Rs 35 crore -- Rs 350 million), Moser Baer (Rs 32 crore -- Rs 320 million), Wipro (Rs 20 crore -- Rs 200 million), Hindustan Lever (Rs 18 crore -- Rs 180 million) and Mastek (Rs 13 crore -- Rs 130 million).