Outlook for Indian Markets Negative Says Key Metrics in Indian Tracking ETF

Fintel.io, a provider of advanced financial research tools for investors, reports on macro fund flows into country-tracking ETFs and equities.

“Fund flow into country-tracking ETFs and changes in short interest provide insights into institutional sentiment in the country’s future outlook,” said Wilton Risenhoover, founder and CEO of Fintel. “Our Funds Flow Leaderboard - India analyzes changes to a security’s owners count and allocation in order to pinpoint those that have high levels of institutional accumulation. This helps retail investors identify potential profit opportunities.”

Institutional accumulation refers to securities being bought by professional and institutional investors such as hedge funds, mutual funds, and pensions. The buying and selling actions of professional and institutional investors can correlate to the stock’s price rising or falling. Taking note of the level of institutional investment helps investors make profitable decisions.

Institutional Fund Flows into INDA - iShares MSCI India ETF shows the following activity over the last quarter:

● Short Interest increased 28% in the last month, from 7.87M shares to 10.1M shares, indicating a negative sentiment

● The total number of funds disclosing positions decreased just 0.5% in the most recent quarter, suggesting a neutral outlook

● Average portfolio allocation by funds declined 15% in the most recent quarter, indicating a negative outlook

● The options put/call ratio is 3.33, indicating a significantly negative outlook

● Ownership Accumulation Score is 18.24, indicating significant institutional selling and a negative outlook

The Ownership Allocation Score (OAS) ranges from 0 to 100, with higher numbers indicating a higher level of accumulation relative to its peers.

Significant changes in flows into the UK’s largest companies:

● INFY / Infosys Ltd: total owners increased slightly by 3.95% to 868 disclosed funds, while average allocation decreased 3.79%. The OAS for INFY is 37, indicating a lower than average accumulation by funds.

● RIIL / Reliance Industrial Infrastructure: total owners steady, with the largest disclosed owner being the fund DFCEX - Emerging Markets Core Equity Portfolio

● Jaiprakash Power Ventures: total owners increased 66%, average allocation increased 5.99%, and total shares owned by institutions increased by 42%, indicating a bullish sentiment on all counts.

● Berger Paints India: total institutional owners increased 9%, but average allocation declined 13.72% and total shares owned declined by 6.81%, indicating a mixed but mostly negative outlook

● Hindustan Construction Company: total disclosed owners increased by 33%, average allocation increased 51%, and total shares owned by institutions increased by 8.52%, indicating a positive outlook on all counts.

In addition to the Funds Flow leaderboard, data-driven retail investors that subscribe to Fintel.io have access to comprehensive ownership data of US institutions, mutual funds, and ETFs targeting equities and bonds in mature, emerging, and frontier markets. The platform also provides insight into mutual funds and EFTs that are shorting stocks, and allows users to track activist hedge funds to uncover potential profit. For more information visit https://fintel.io.