Over 42 Lakh New Investors Enter Indian Stock Market in November

A record 42,76,207 investors joined the Indian stock market in November, the National Stock Exchange (NSE) data showed on Thursday. In the July-September period this year, a total of 1,60,06,447 (over 1.6 crore) people joined the stock market, as India's equity markets soared to record highs.

Benchmark indices Nifty and Sensex hit all-time highs of 26,277.35 and 85,978.25, respectively, this year.

The stock exchange also said that till December 23 this year, the total number of registered investors stood at 21,02,25,329 (over 21.02 crore).

According to the data available with NSE, Maharashtra currently leads with the highest number of accounts at over 3.7 crore, followed by Uttar Pradesh at 2.28 crore, Gujarat at 1.87 crore and Rajasthan and West Bengal at over 1.2 crore each.

In October, the total number of client accounts at the exchange exceeded 20 crore for the first time, from 16.9 crore eight months ago. The unique registered investor base (with a unique PAN number) stood at 10.5 crore in October.

According to the latest SBI (NS:SBI) Research report, the country is witnessing at least 30 million new demat accounts being opened every year since 2021, and nearly every one in four is now a women investor, showing an increasing prevalence of using the capital market as a channel for financialisation of savings.

The report said that due to this, the total demat accounts in the country crossed 150 million (of which 92 million are unique investors on NSE) in FY24 as compared to a paltry 22 million in FY14.
The number of new demat accounts this year may cross the 40 million mark, says Dr Soumya Kanti Ghosh, Group Chief Economic Adviser, SBI.

Further, it said that the mounting share of mutual funds in financial savings has made mutual funds the most preferred tool for financializing savings. The latest SIP registered increased four times since FY18 to 4.8 crore leading to the total SIP contribution into about Rs 2 lakh crore.