HDFC Bank might see inflows of up to $4 billion as MSCI weightage set to increase

HDFC Bank Ltd., India’s biggest personal sector loanprovider launched its shareholding pattern for the April-June quarter, which hasactually seen holdings from Foreign Portfolio Investors (FPIs) decrease additional compared to the March quarter. The resultant decrease is mostlikely to outcome in the loanprovider getting inflows inbetween $3 billion to $4 billion as its weightage in the MSCI indices stands to boost from existing levels.

As per information shared on the BSE, holdings of Foreign Portfolio Investors fell to 54.83% from 55.54% at the end of the March quarter. Of this holding, FPIs hold 47.17% in the Indian entity, a figure down from 47.83% in the March quarter, while the rest is held in HDFC Bank’s shares noted in the UnitedStates or American Depository Receipts (ADR).

FPI holdings had to fell listedbelow 55.5% for lendinginstitution’s weightage in the MSCI indices to boost. Foreign financialinvestment ceiling in HDFC Bank is presently at 74%.

Brokerage company BoFA Securities hadactually composed in a note that if the FPI shareholding in HDFC Bank drops evenmore in the June quarter, it is mostlikely to be in c