A STUDY ON IMPACT OF FII ON INDIAN STOCK MARKET

Abstract

Investors play a crucial role in ensuring that the economy is market-driven. Foreign Institutional Investors (FIIs) spend their wealth in the markets, thus it's critical that they put their money into the most profitable areas of the economy. FIIs are a prominent investor group that has recently emerged to have a significant impact in stock market performance. Every year, the developing nation of India attracts a wide range of FII-led investments. Foreign investments have a significant impact on the Indian economy. The Indian stock market reflects the country's economic situation and is influenced by international investments. The goal of this study is to test the null hypothesis that FII investment in India has an influence on the stock market and the Indian economy. The stock market data comes from the BSE website, while the FII data comes from the Government of India report.