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The National Stock Exchange (NSE) is on a dream run. On 8th Aug 24, the exchange crossed its 10 crore unique investor mark, with 1 crore new investors in the last 5 months. This is a sharp rise in investor registrations, which reflects a total of 19 crore registered client codes.
Their daily new registrations range between 50,000 to 78,000 daily, due to more digitization and better market performance.
A Look At NSE’s Investor Growth Journey
From FY 19-24, a total of 6.5 crore new investors with unique PANs have registered in the Indian Stock Market. According to the Economic Survey 23-2024, the registered Unique Tax IDs rose from 2.7 crore in FY19 to 9.2 crore in FY24. The majority of them were retail investors starting their journey in Covid 19.
This was followed by a Share Market boom in the last 15 months which accelerated the speed of growth to the next gear.
The time taken to add a new 1 crore investor base has reduced every time. This indicates the incentive new investors are getting to invest and trade through NSE.
Not Just Rising Participation But Broader Participation
The world's largest operational exchange has witnessed rising participation which has crossed different age and gender groups.
The median age of the 10 crore investor base is 32, with 40 % under the age of 30.
Female Investors are now almost 20% of the total investor base.
North India contributed to 42% of the last 1 crore registrations, with Uttar Pradesh and Maharashtra leading the new investor participation.
Not just direct but indirect market participation has increased. Around 2.1 crore new SIP accounts opened between March and June 24, with an average monthly SIP inflow of Rs 20,452 crore.
NSE Officer’s Statement
“This growth can be attributed to several key factors, including the streamlined Know Your Customer (KYC) process, enhanced financial literacy facilitated by stakeholder-led investor awareness programs, and enduring positive market sentiment.
Increased participation in various exchange-traded financial instruments, such as equities, exchange-traded funds (ETFs), real estate investment trusts (REITs), infrastructure investment trusts (InvITs), government bonds, and corporate bonds, underscores these contributing factors,” said Sriram Krishnan who is NSE’s Chief Business Developments Officer.
NSE Recent Financial Performance 23-24
Basis 1: Revenue Growth: In FY 23, NSE reported a consolidated revenue of Rs.12,765.36 cr. which grew to Rs Rs.16,433.61cr. in FY 24 i.e. a 28 % increase.
Basis 2:Profit After Tax: PAT increased by 12.06% Year on Year to Rs 7501.88 cr. in FY 24 from Rs 8406.48 cr. in FY 23.
Basis 3: Expenses: The consolidated total expenses increased for FY 24 to Rs 5350 cr. We can see the same pattern for standalone total expense which is Rs 6139 cr. for FY 24. A major reason for this increase was due to SEBI-mandated contributions to Core SGF.
Basis 4:Earning Per Share: The Consolidated EPS saw a 30% growth from Rs 129 per share in FY 23 to Rs 167 per share in FY 24.
NSE has performed substantially well surpassing investor expectations with a revenue growth of 28% and profit growth of 12 %. Check here for a detailed Fy 24 results analysis.
Should You Invest In NSE Shares?
The NSE in India is one of the most actively traded shares in the unlisted market. After declaring a 4:1 bonus issue, the NSE Share price jumped from Rs 6000-6500 per share. You can buy NSE through Stockify.
NSE pre-IPO stock is the best bet for you if you wish to put your money into stock investment as a retail investor. NSE is dominating with more than 90% market share in all categories. Compared to BSE, its revenue growth has been three times more than BSE for the last four years.
NSE IPO is in the talks as SEBI looks forward to giving a green flag in 2024. Based on the above data and the comparison, if you buy NSE unlisted shares, count on Stockify. We are one of India’s trusted online stock trading platforms where you can buy and sell unlisted shares in India from the comfort of your home.
Connect with our team to know more.
