In October, Indian mutual funds reshuffled their portfolios with a clear tilt towards financial stocks, while trimming exposure to IT, FMCG, and select industrial names.
Data shows a steady rise in investor participation, with equity mutual fund inflows at Rs 24,700 crore and SIP contributions hitting a record Rs 29,500 crore for the month.
SBI Mutual Fund added Bajaj Finance, Adani Power, and Infosys to its portfolio, signalling confidence in diversified growth plays.
On the other hand, it reduced holdings in HDFC Bank, ICICI Bank, and Adani Ports, taking complete exits from Tata Elxsi, Avenue Supermarts, and Mphasis.
Fresh buying was seen in Canara Bank, MCX, and Pearl Global, reflecting interest in midcap financial and speciality segments.
ICICI Prudential MF
ICICI Prudential Mutual Fund increased exposure to NTPC, ICICI Bank, and HDFC Bank, while trimming positions in Axis Bank, Bharti Airtel, and Larsen & Toubro.
It exited KIMS Hospitals and initiated new positions in Aditya Birla Life Insurance and Shriram Finance, continuing its focus on quality financials and insurance plays.
HDFC Mutual Fund
HDFC Mutual Fund bought HDFC Bank, ICICI Bank, and Power Grid, highlighting a preference for stable large caps. It reduced stakes in TCS, NTPC, and Maruti Suzuki, and fully exited HCC, Dalmia Bharat, and EID Parry.
Fresh entries included Tech SGS and Shilpa Medicare, indicating selective accumulation in niche segments.
Nippon India Mutual Fund
Nippon India Mutual Fund’s top additions were Trent, HDFC Bank, and Colgate, while it exited Zydus Lifesciences, West Coast Paper, and Premier Energies.
Fresh exposure was taken in UNO Minda and Hindalco, signalling optimism in auto ancillaries and metals.
Sectoral Trends and Expert View
Overall, fund managers favoured financial stocks such as HDFC Bank, ICICI Bank, and Canara Bank, while reducing exposure to IT and FMCG names like TCS, Infosys, and Colgate.
Experts believe mutual funds are now shifting towards midcap and speciality sectors like auto ancillaries and export-oriented companies, including Pearl Global and SGS Enterprises.