New Delhi, Aug. 6 -- Domestic institutional investors (DIIs) have strengthened their dominance in the Indian equity market, with their holdings in Nifty-500 companies rising to a record high of 21 per cent, while foreign institutional investor (FII) ownership has declined to an all-time low of 17 per cent, according to a report by Motilal Oswal Financial Services.

The report highlighted a structural shift in institutional ownership that has been building momentum over the past few years, led by sustained domestic inflows into equities.

"This structural shift in institutional ownership, which has gained momentum since 2021, continues to strengthen as DII holdings scale new peaks, accounting for 21 per cent of Nifty 500 companies in run r...