While top mutual funds had taken huge exposure to newly listed companies last month, there have been a few stocks which have lost the favour of top fund managers. Top mutual funds including Aditya Birla Sun Life, L&T Mutual Fund and Indiabulls have completely exited their positions in a few shares. Aditya Birla Sun Life Mutual Fund completely sold off its positions worth Rs 4.1 crore in the shares of Orbit Exports Ltd, data compiled by IDBI Capital showed. Notably, the shares have corrected by more than 11% in the last month alone. In the year too, the small cap stock has lagged the benchmark to return an abysmal 2.8%. The fourth largest fund house has also exited its positions worth Rs 1 crore in the shares of DQ Entertainment International. DQ Entertainment shares have shed more than 33% since January. In the last one month alone, the shares have tanked more than 8%.
L&T Mutual Fund has sold out its positions in the shares of Ballarpur Industries, which have corrected by more than 15% in the year. L&T MF sold out positions worth Rs 2.65 crore. Indiabulls AMC has sold off its positions in the shares of Bliss GVS Pharma worth Rs 1.4 crore. This stock has returned more than 25% in the year so far. Notably all the four funds have fully exited their stake in the respective shares.
India’s primary markets had seen a lot of action in October, with many high profile names coming out with their IPOs amid exuberance in the markets. Top mutual funds have taken high exposure to five IPOs which made their debut on the bourses last month. Top mutual funds including Aditya Birla Sun Life AMC, Axis Mutual Fund, DSP Blackrock, ICICI, Sundaram and IDBI among others collectively invested a staggering Rs 315.48 crore into the shares of the company in October alone, data compiled by IDBI Capital showed. Mutual funds also lapped up the shares of Godrej Agrovet Ltd, with Rs 270 crore invested.
More than ten mutual funds including prominent names like Reliance, HDFC and ICICI had collectively invested a staggering Rs 237 crore in the shares of MAS Financial Services Ltd, whose IPO was oversubscribed by 129 times last month. Other three stocks which mutual funds lapped up include General Insurance Corporation of India (Rs 203 crore), Reliance Nippon Life Asset Management (Rs 141.5 crore) and Mahindra Logistics (Rs 114 crore).