Why Are Promoters Selling Shares Worth ₹50,000 Crore?

Promoters sold more than 50,000 crores in the last one month. So, there was a little bit recovery in the market and promoters started selling shares. And we had discussed in our previous videos that why mutual funds were holding more than 2 lakh crore cash. So, there was a reason for this too. We will come to this later. First of all, let's see which are the strokes in which the promoters group has exited. So, number one is Indico in which the co-founder of Indico has sold a stake of 11,500 crores. Second is ITC in which BAT, British American Tobacco Company has sold a stake of 13,000 crores. Then there is Bharati Gaital in which a foreign fund has sold a stake of approximately 13,000 crores. So, in these three blue chip companies, approximately 37 crores have been sold in the last one month. Promoters have also sold a stake in 3D Power. Then there is electronic manufacturing company PG Electroplast in which promoters have sold a stake. There are many more companies. So, we had discussed that why mutual funds were holding so much cash in April mutual fund data. So, the reason for that was that when the market will recover, the supply that is going to come in the market through promoter selling or some foreign fund is selling its stake in some stock. So, to absorb that supply, mutual funds were holding so much cash. And the major liquidity of the market in the last one month has gone to give exit to these promoters. So, you see, 50,000 crores have been sold. So, someone has taken a major mutual fund. So, mutual fund houses have absorbed it. So, 3 to 4 billion dollars have gone to absorb that supply. So, what do you think is the reason why promoters are exiting from stocks?