Retail Power: Stock market reached 99.84% pincodes, stake of retail investors increased 10 times in 10 years – retail power retail holdings rise more than 10x over the last decade

Retail Power: The interference of retail investors in the stock market is increasing rapidly. According to the data available on the National Stock Exchange (NSE), their number has increased more than ten times in ten years. Retail investors invest money in the stock market directly i.e. through shares and indirectly i.e. through mutual funds. The number of investors had crossed 10 crore in August 2024 but the next one crore investors increased in just 5 months. By December 24, the number of investors reached 10.9 crore. In the year 2024, 2.3 crore investors will join the stock market directly or indirectly, which is the highest in any one year.

According to NSE data, India remains the fourth largest market globally, and its market cap has crossed the level of $5 trillion i.e. $5 trillion. Currently, the world’s largest market is America followed by China (including Hong Kong) and Japan.

Retail investors have 17.6% stake in the stock market

According to NSE data, retail investors have 17.6% stake in the market cap of companies listed on NSE, which was 10.9% in 2014. In this, direct retail holdings are 9.6 percent. Talking about indirect retail participation, participation through mutual funds has increased by about 2.9 percent to 8 percent in ten years. There has also been an increase in the portfolio and earnings of investors. According to the data till September 2024, in ten years, the household equity portfolio increased at a compound growth rate (CAGR) of 25 percent on an annual basis to Rs 82.5 lakh crore. Last year in 2024, stock market household investors earned Rs 13.2 lakh crore.

Stock market reached 99.84% pincodes

The rapid rise of the stock market attracted investors from across the country. Now, except about 30 pin codes in the country, there are registered investors in 99.84% pin codes. However, according to the data till 26 December 2024, one third of these investors are only from Maharashtra, Uttar Pradesh and Gujarat. Talking about new investors, UP has won in this.

Now if we talk district wise, 15 percent of the new investors who joined last year were from Delhi NCR, Mumbai, Pune, Surat and Ahmedabad. Talking about the overall investor base as a share of the country, maximum 1.31 crore investors are from the eastern part of the country.

The special thing is that the median age of investors fell from 41.1 years to 35.8 years on an annual basis by the end of 2024. Women’s participation increased from 23 percent to 24 percent.