Adani Enterprises, Hero MotoCorp, UPL, HDFC Life Insurance, and Britannia Industries were among the top five stocks that witnessed the highest month-on-month (MoM) net buying by Mutual Funds companies in September 2022, according to Motilal Oswal Financial Services’ Fund Folio report.
Motilal Oswal Financial Services’ Fund Folio is a handbook on the holdings of the top 20 domestic mutual funds in India. The monthly report provides details on trends in AUMs and flows, sector allocation by funds, stock-wise holding change, top schemes and NAV change and fund-wise snapshots on top holdings.
According to the report, Adani Enterprises (ADANIENT) witnessed the highest MoM net buying worth Rs 66.8 billion in September, which was 23.9% more than the previous month in terms of shares and 34% more in terms of value.
As many as 18 Mutual Funds had exposure to this stock in September. Adani Enterprises was followed by Hero MotoCorp (+13.3%), UPL (12.9%), HDFC Life Insurance (+12.7%) and Britannia (+11.6%).
Other stocks in Top 20
Other stocks in the top 20, where mutual funds invested the most in September, were Apollo Hospitals (+10.5%), IndusInd Bank (+7.5%), Maruti Suzuki (+5.1%), Kotak Mahindra Bank (+4.3%), Cipla (+3.3%), Power Grid (+3.1%), ONGC (+3.1%), SBI Life Insurance (+2.7%), Bajaj Finance (+2.4%), HDFC (+2.4%), Infosys (+2.1%), Divi’s Lab (+1.9%), Axis Bank (+1.8%), HUL (+1.8%) and Nestle India (+1.6%).
Top sectors for MFs in September
Sector-wise, mutual fund houses were mostly interested in Consumer, Healthcare, Telecom, PSU Banks, Retail, and Capital Goods leading to an MoM increase in their weights in September. Oil & Gas, Technology, Private Banks, Metals, Utilities, Insurance, and NBFCs saw an MoM moderation in weights, the report says.
With 18.2% weightage, Private Banks became the top sector holding for mutual funds in September, followed by Techonoloy (9.8%), Autos (7.8%), NBFCs (7.7%) and Consumer (7.1%).
SIP in September
The report says that equity inflows remained stable in September 2022 backed by New Fund Offers as SIP contributions reached a new high. While markets turned volatile amid the fear of monetary policy tightening, investors defied all odds while continuing to invest in mutual funds.
According to data from the Association of Mutual Funds in India (AMFI), the number of SIP accounts in September stood at 5,83,77,684 while monthly SIP contribution was at Rs 12,976.34 crore. The total SIP AUM in September was Rs 6,35,285.66 lakh crores.