Foreign investors prefer Indian cyclicals, utilities: Macquarie

Global brokerage Macquarie has said foreign ownership of BSE 200 index is steady at an all-time high of around 21 per cent in June compared with May, with room to grow since unutilised portion is worth $152 billion for the index.

In April-June foreign institutional investors (FIIs) preferred cyclicals, while utilities gained 100 basis points in overseas holdings and financials saw 85 basis points decline, the brokerage added.

Key stocks, according to Macquarie, where FIIs are still underweight (vs MSCI) but saw increase in weightage and ownership during the quarter were: Larsen and Toubro, State Bank of India, NTPC and Reliance Industries.

(Reuters)