Investor wealth surges over Rs 59.75 lakh crore in FY22

Investors' wealth jumped over Rs 59.75 lakh crore in the 2021-22 fiscal, helped by a largely buoyant trend in domestic stocks with benchmark index Sensex surging over 18 per cent during the period.

Braving many headwinds in the latter part of the current fiscal, Sensex closed the 2021-22 financial year with a gain of 9,059.36 points or 18.29 per cent.

Mirroring optimism in equities despite worries related to geopolitical tension, inflation concerns, FII selling, the market capitalisation of BSE-listed firms rallied by Rs 59,75,686.84 crore to Rs 2,64,06,501.38 crore in the entire 2021-22 fiscal.

"The positive sentiment continued for most of the year led by strong economic and earnings recovery on the back of easing COVID waves.

"However, equity markets lost their sheen in the last quarter, owing to geopolitical tensions and inflation concerns, especially in developed economies. Nonetheless, it has been a good year for the markets and managed to end with healthy gains in FY22," Ajit

Mishra, VP-Research, Religare Broking, said.

The market capitalisation of BSE-listed companies had jumped to an all-time high of over Rs 280 lakh crore on January 17 this year. Analysts said that easing of restrictions, strong vaccination drives and less severe COVID waves abated concerns regarding the pandemic.

"Moreover, strong support from the government and central bank (keeping interest rates low & adequate liquidity) to revive the economic growth helped markets inch higher," Mishra added. The Sensex reached its all-time high of 62,245.43 on October 19 last year.

Sunil Nyati, Managing Director of Swastika Investmart Ltd, said. "FY22 remains good for the Indian equity market despite lots of headwinds. The first half was very good while the market entered into consolidation in the second half.”

Braving headwinds in the second half, Sensex closed 2021-22 with a gain of 9,059.36 points or 18.29 per cent