Retail investors cut down exposure to private banks in Q4

RETAIL INVESTOR SHAREHOLDING in private banks has declined by up to 278 basis points in the fourth quarter of FY25 compared to the previous quarter with smaller and mid-sized lenders seeing a steeper drop.

- SACHIN KUMAR

RETAIL INVESTOR SHAREHOLDING in private banks has declined by up to 278 basis points in the fourth quarter of FY25 compared to the previous quarter with smaller and mid-sized lenders seeing a steeper drop. On an average, retail shareholding in private banks fell by 29 bps, while in public sector banks, the decline was marginal at 2 bps.

Of the 17 listed private sector banks, 11 reported a fall in retail investor stakes, according to the latest shareholding data filed with stock exchanges. Domestic institutional investors (DIIs), on the other hand, raised their holdings in nine private banks, reduced exposure in six, and maintained stake in two.