India’s Leading BFSI and FinTech Companies 2021

29 Global Trends in Primary and Secondary Markets: 2019 Category Parameter Unit Americas Asia EAME 2018 2019 2018 2019 2018 2019 Bonds Capital Raised@ USD Billion 3,157 984 1,438 1,771 3,654 3,811 Number of Trades# Million 2 4 43 80 21 24 Value Traded # USD Billion 633 726 2,878 3,771 9,261 9,824 Equity Capital Raised USD Billion 168 238 370 347 179 182 by already listed companies USD Billion 116 187 259 245 137 122 -by IPOs USD Billion 52 50 111 101 41 59 Market Capitalisation USD Billion 34,206 40,859 23,868 28,880 16,608 21,969 Number of Trades# Billion 6,833 6,467 15,725 15,725 2,110 1,979 Value Traded # USD Billion 54,496 43,958 32,106 32,106 13,089 11,134 Notes: # Includes trades done only on stock exchanges through electronic order book (EOB), excluding OTC, or Negotiated trades ; @ data for USA not available, as bond market in USA is mostly OTC. Source: World Federation of Exchanges Indian Securities Market India’s stock market capitalization stood at US$ 2.16 tn as on December 31, 2019, up 5.2% in dollar terms from US$ 2.06 tn at the end of 2018. In terms of percentage, however, the share of India’s market capitalization globally dropped from 2.8% to 2.4% during the same period. In terms of stock market turnover (cash segment) India registered a growth of 1.4% during 2019 as compared with an increase of 1.3% in 2018. In terms of number of trades in equity shares, the National Stock Exchange slipped from the second rank in 2018 to third in 2019 and BSE Ltd dropped two places from 11th rank in 2018 to 13th in 2019. In terms of primary market activity, it remained subdued during 2019 especially with initial public offerings (IPOs). The resources mobilized through IPOs declined to US$ 2.4 bn in 2019 from US$ 4.7 bn a year ago, while resource mobilized through non-IPOs (including private placement of equity) touched US$ 35.6 bn during 2019, driven by the Government’s capital infusion into public sector banks through preferential allotments. The amount raised through bond issuances (including both public and private placements) increased to US$ 398.3 bn during 2019 from US$ 279 bn in 2018. India accounted for 1.2% of the capital raised globally by listed corporates through IPO Equity, compared with 2.3% in 2018, while the country’s percentage share in capital raised globally through non-IPO equity and corporate debt stood at 6.4% and 6.1%, respectively, compared with 5.5% and 3.4%, respectively, a year ago. Resource Mobilization on SME Platform The SME platform continued to witness a decline during FY20 both in terms of number of companies accessing the IPOs as well as the amount raised through SME IPOs. During FY20, 46 companies were listed in the SME platform raising a total of ` 495 crore as compared with ` 1,844 crore raised through 110 issues in FY19. 22.5 18.4 5.0 156 110 46 0 20 40 60 80 100 120 140 160 180 0.0 5.0 10.0 15.0 20.0 25.0 FY18 FY19 FY20 Amount Rai sed (Rs bn) No. of issues Source: SEBI Dun & Bradstreet