HDFC Asset Management Company, Coal India and Shriram Finance saw the highest buying interest from mutual funds (MFs) in June, stated a report by the market daily Business Standard. These firms were in the news over block deals and offers for sales. The other two in the top five most bought stock list — Timken India and Kotak Mahindra Bank — also witnessed block deals last month, added the report.
It also reported that the large-cap allocation rejigs in June shows that MFs loaded up on defensive stocks while booking profits in financial shares. Coal India, Hindustan Unilever and Sun Pharma were the top large-cap buys, while Axis Bank, ICICI Bank and Bajaj Finance were among the top five most sold large-cap stocks by MFs, it said, quoting a report by Nuvama.
It further noted that MFs were low on the deployment of funds in the equity market in June as they invested a net of ₹5,664 crore in a rising market scenario. The Nifty50 went up 3.5 percent in the month. Among the newly listed stocks, IKIO Lighting and ideaForge Tech made their way into MF portfolios. Mangalore Refinery, Kolte-Patil, and BSE were the other stocks to make an entry into MF schemes, added the report.
As per the data released by the Association of Mutual Funds in India (AMFI), the inflows into equity mutual funds witnessed a 166 percent surge to ₹8,637 crore in June as against ₹3,240 crore in May.
While the inflows in equity MF surged, the overall mutual fund industry reported net outflows of ₹2,022 crore, after 2 months of inflows, primarily pulled by liquid funds.
