Mutual funds increase weightage in healthcare, real estate sectors

NEW DELHI: Among the Nifty midcap-100 stocks, mutual funds were net buyers in 64 per cent of the stocks. The highest month on month net buying in Nov’23 was seen in Petronet LNG, JSW Energy, Sun TV Network, Aditya Birla Capital, and Vodafone Idea, as per a report by Motilal Oswal Financial Services.

In the Nifty-50 stocks, MFs were net buyers in 50 per cent of the stocks. The highest MoM net buying in Nov’23 was observed in Bajaj Finance (+12.6 per cent), Adani Ent. (+11.1 per cent), Kotak Mahindra Bank (+6.6 per cent), Tata Consumer (+5.9 per cent), and JSW Steel (+5.4 per cent).

In Nov’23, MFs showed an interest in Healthcare, Real Estate, Technology, Utilities, Retail, and Metals, leading to a MoM rise in their weights. Conversely, Banks (Private & PSU), Consumer, Chemicals, and Consumer Durables saw a MoM moderation in weights. Private Banks (18.2 per cent) was the top sector holding for MFs in Nov’23, followed by Technology (9.5 per cent), Autos (8.4 per cent), Capital Goods (7.2 per cent), and Healthcare (7.0 per cent). Real Estate, Metals, Healthcare, Retail, and Utilities were the sectors to witness maximum increase in value Mo, the report said.

Total equity value for the top 20 AMCs increased 7.6 per cent MoM (+25.3 per cent YoY) in Nov’23 vs. a 5.5 per cent MoM rise (+7.3 per cent YoY) for the Nifty-50. Among the Top 10 funds, the maximum MoM increase was seen in Nippon India Mutual Fund (+9.3 per cent) followed by Kotak Mahindra Mutual Fund (+9.2 per cent) DSP Mutual Fund (+8.8 per cent), HDFC Mutual Fund (+8.3 per cent), and Axis Mutual Fund (+8.0 per cent).

Notably, the month saw a decline in sales of equity schemes (down 10.5 per cent MoM to Rs 430b). The pace of redemptions was unchanged at Rs 261b (up 0.4 per cent MoM). Consequently, net inflows moderated to Rs 169b in Nov’23 from Rs 220b in Oct’23, the report said.