On Friday, the National Stock Exchange (NSE) announced that its unique registered investors have exceeded the nine crore landmark.
NSE Achieving A New Milestone
This milestone was achieved with the addition of the latest one crore registered investors in just five months.
Interestingly, its investor base has experienced a significant increase of more than three-fold in the last five years.
This growth has been facilitated by several factors, including the rapid advancement of digitization, increased investor awareness, efforts towards financial inclusion, and strong performance in the market.
While confirming the news, the bourse said, “The unique registered investors on the National Stock Exchange of India crossed nine crore on February 29, 2024,” in a statement.
Moving ahead, the total number of client codes registered with the exchange has reached 16.9 crore.
Please note here that these figures include all client registrations done till date and clients can register with more than one trading member.
An Accelerating Trend
Over the last few years, the unique investor base registrations at NSE have witnessed an accelerating trend.
Out of that, the increase from six to seven crore unique investors took about nine months.
While the next crore investors came in eight months.
After that, the next jump from eight to nine crore took only five months.
There is a significant increase in daily new unique registrations that has averaged between nearly 47,000 in October 2023 to 78,000 in January this year.
Overall, the Nifty 50 has given a return of 27 percent from the beginning of FY24 till February 29 this year.
Following the similar trend, Nifty 500 has also delivered 38 percent return over the same period.
While pouring more light on the subject, the Chief Business Development Officer at NSE, Sriram Krishnan, said, “It is encouraging to see that the latest one crore new investors have been boarded on the exchange in the shortest time of five months.”
Adding, “deepening participation in various exchange traded financial instruments such as equities, exchange traded funds (ETFs), REITs, InvITs, Government Bonds, Corporate Bonds, etc. can be attributed to some of the key drivers such as simplification of KYC process over the years, financial literacy imparted by all stakeholders through investor awareness programmes and sustained positive market sentiment over the long term.”
When it comes to the new investors that have entered the market since October 2023, nearly 42 per cent hailed from North India, followed by West India (28 per cent), South India (17 per cent) and East India (13 per cent).
If we look statewise, Uttar Pradesh and Maharashtra contributed the largest number of new investors during this period.
Together, they are accounting for more than a quarter of all new additions.
In a closure look, we could see that the highest number of unique registered investors are from Maharashtra with 1.6 crore.
It is followed by Uttar Pradesh with 97 lakh and Gujarat with 81 lakh such investors.
The increase in new investors is interestingly witnessed across states, with all but 33 pin codes having at least one individual directly investing in the market.
