NEW DELHI: The number of new investors joining the Indian stock markets witnessed a sharp decline in August, new additions goes down by 18.3 per cent on a month-on-month basis, according to a recent report released by the National Stock Exchange (NSE).
The report showed that only 12.3 lakh new investors registered with the exchange in August, marking the third-lowest monthly accretion in the current financial year.
It stated “While 12.3 lakh new investors were added during the month, the pace of additions moderated, declining 18.3 per cent MoM”.
Despite the slowdown, the NSE’s overall registered investor base expanded to 11.9 crore by the end of August 2025, inching closer to the significant 12-crore milestone.
The moderation in new registrations comes against the backdrop of broader macroeconomic headwinds.
The report mentioned that tariff-related shocks, coupled with sustained foreign capital outflows amid heightened global uncertainties, have weighed on investor sentiment in recent months.
Since the start of calendar year 2025, the pace of investor additions has been on a downward trend, except for the May to July period. August’s figure further extended this slowdown, highlighting the cautious mood in the equity markets.
The report highlighted that the momentum in expanding the investor base has slowed considerably compared to last year.
Between February and August 2025, the average number of new investors added per month stood at 11.9 lakh, a sharp fall from the average monthly addition of 19.2 lakh investors recorded during the same period in 2024.
The growth trajectory of the market in the past two years had, however, been noteworthy. Having crossed the 9-crore investor mark in February 2024, the NSE’s registered base expanded to 10 crore by August 2024 and further touched 11 crore by January 2025.
Each incremental crore of investors was added within a span of just five to six months, reflecting strong retail participation during that period.
In contrast, the report highlighted that the subsequent months from February to August 2025 saw momentum tapering off significantly. So the report pointed out that while structural expansion of the investor base continues, the near-term challenges have dented the pace of fresh registrations. (ANI)