LIC to invest ₹1.3 lakh crore in equities this fiscal
Life Insurance Corporation of India (LIC) has announced plans to invest approximately ₹1.3 lakh crore in equities during the current fiscal year, as per its MD and CEO Siddhartha Mohanty. This strategic move follows a significant investment of around ₹38,000 crore in shares during the first quarter of FY25 (April-June). The figure represents a substantial increase from the same period last year when LIC invested about ₹23,300 crore.
Equity investments yield ₹15,500 crore profit in Q1
LIC reported a profit of ₹15,500 crore from its equity market investments during the first quarter of FY25, marking a 13.5% increase on a quarter-on-quarter basis. "We are surely looking at the markets and price movements... we are looking to invest a good amount at least whatever we had invested in last financial year," stated Mohanty. He also revealed that LIC made an investment of around ₹1.32 lakh crore in FY24.
Market value of stock investments reaches ₹15 lakh crore
As of the end of June, the market value of LIC's investments in stocks from various companies was approximately ₹15 lakh crore. The corporation had exposure in 282 firms through investment in their stocks as of June 30, 2024. The Assets Under Management (AUM) saw an increase of 16.22%, rising to ₹53,58,781 crore at June-end from ₹46,11,067 crore at the end of the same quarter last year.
Total investment and equity portfolio grow significantly
Total investment by LIC grew by ₹7,30,662 crore between March 2023 and March 2024, reaching ₹49,75,514 crore. The total equity investment portfolio constituted ₹12,39,740 crore as against ₹8,39,662 crore in FY22-23. Other investments amounted to ₹37,35,774 crore compared to ₹34,05,190 crore during FY22-23. These figures indicate a significant expansion in both the corporation's total investments and its equity portfolio over the past fiscal year.
LIC reports 10% increase in net profit
For the June quarter of 2024, LIC reported a 10% increase in net profit, amounting to ₹10,461 crore compared to ₹9,544 crore in the year-ago period. Total income for the quarter also saw an increase, reaching ₹2,10,910 crore from ₹1,88,749 crore in the same period last year. Furthermore, total premium income for the quarter rose by 16% to ₹1,13,770 crore compared to ₹98,363 crore in the same quarter a year ago.
