Mutual Fund Stock Strategy: The trust of mutual fund houses has increased once again on the bank and the financial sector. After the second quarter results, the outlook of banks, especially private sector banks and companies in financial sector, has improved. Deposit growth has improved from loan growth. The disbursement rate is reaching pre covid level. Collection efficiency has also been increased to 90 percent or more. Presently, in view of this, the trust of mutual fund houses has once again shifted towards the bank and finance sector. Among the 10 companies in which the maximum value of mutual funds has increased in the month of October, the top 5 are the top 5 stocks belonging to these sectors. Explain that in September, the fund house distanced itself from bank shares. Brokerage house Motilal Oswal has given a report in this regard.
Most focus on shares of these companies
In October, the stocks on which mutual funds have been the biggest focus are 5 banks or financial stocks in the top 10.
1. ICICI Bank
2. HDFC Bank
3. Kotak Mahindra Bank
4. Axis Bank
9. Ultratech Cement
10. Maruti Suzuki
Distance created from these shares including RIL
Among the stocks which have lost the most value in October, RIL is at number one in the top 10. Shares like ITC, Vedanta and Sun Pharma are also included in this.
1. Reliance Industries
5. Hero Motocorp
6. Sun Pharma
7. Britannia Industries
8. Eicher Motors
9. Bharat Electronics
10. Honeywell Auto
Which sector increased investment
The sectors on which mutual funds have increased their focus on allocation on a monthly basis in October include private banks, technology, cement, NBFCs, and telecom sectors. At the same time, the allocation which has reduced include bank oil and gas, consumer, healthcare, automobile, capital goods, metal, chemicals and media.
The weightage on the private banking sector has increased 160 points to 17.4 percent on monthly basis. In September, it was at the low of 29 months. The weightage on technology sector is at a new high. It has increased by 20 points to 11.8 percent on a monthly basis. The consumer weightage has fallen by 40 points to 8.3 per cent on a monthly basis. There has been a continuous decline in the 5th month.
Buyers in 72% shares of Nifty 50
In October, the focus of mutual funds is mixed on frontline stocks. According to the report, in 72 per cent shares of Nifty 50, mutual funds have been buyers in the past month. Whereas 44 percent in September, 38 percent in August and about 40 percent in July were buyers.
AUM up 5.1 percent at 28.2 lakh crore
Asset under management of the mutual fund industry grew by 5.1 per cent to Rs 28.2 lakh crore in October, while in September it was down by 2 per cent to Rs 26.9 lakh crore. Equity mutual funds saw withdrawals for the fourth consecutive month in October. 3900 crore outflow from this cutgiri.