Mutual Funds Buying-Selling: At a time when foreign investors were selling the market, even at that time, India’s mutual funds were shopping in blue-chip stocks, but the trend suddenly overturned in April. In April, India’s mutual funds started lightening their holdings. According to the recent research by Moneycontrol, mutual funds have lightened their holdings in about 75 per cent of the Nifty 50 stocks. According to analysts, this trend is the profit booking of domestic institutional investors.
Mutual Funds sold the most in ICICI Bank
Among the shares of the Nifty 50, mutual funds have lightened the investment in about 39 companies, while the remaining increased holding. Mutual funds in ICICI Bank made the best selling, which led to withdrawal of more than Rs 6,400 crore. This was followed by a selling of Rs 5,285 crore in HDFC Bank and Rs 4,819 crore in Bharti Airtel. After this, Mutual Funds of India have ITC (Rs 4,466 crore), Axis Bank (Rs 3,081 crore), Bajaj Finance (Rs 2,600 crore), Cipla (Rs 2,522 crore), SBI (Rs 2,454 crore), Mahindra & Mahindra (Rs 1,931 crore), SBI Life Insuvency (1,846 crore) Selling for Unilever (Rs 1,504 crore), and Tata Motors (Rs 1,266 crore).
On the other hand, India’s Mutual Funds made the highest shopping in Tata Consultancy Services (TCS) in which the mutual funds invested Rs 1,647 crore. After this, the maximum number of Rs 1,285 crore in Tata Steel and Rs 1,210 crore in Infosys. This was followed by the domestic mutual funds the most Reliance Industries (Rs 957 crore), Dr. Reddy’s Laboratories (Rs 690 crore), HDFC Life Insurance (Rs 515 crore), JSW Steel (Rs 403 crore), and Bajaj Auto (Rs 267 crore).
What to say of experts?
Rajesh Palviya of Axis Securities says that the recent shopping-bickering shows the adjustment of profits or portfolio. Companies are releasing quarterly results and in such a situation there are some adjustments i.e. shopping-book. Overall, the fund flow remains stable. According to Rajesh, Mutual Fund would have reduced the stake in the selected shares, taking advantage of the opportunity under a strategy, which had accelerated. According to Rajesh Palviya, after continuous selling since last September, FIIs have recently become net buyers taking advantage of attractive evaluation at lower levels.
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