New Delhi : Domestic mutual funds seem to have taken a bearish stance in stock market during the last quarter, when they offloaded shares worth about $1.2 billion (Rs 6,625 crore) despite a significant uptrend in the overall market and impressive buying by foreign investors, according to research report by BofA-Merrill Lynch.
Individually, sectors like financials and consumer were among the worst hit in terms of net-sale by mutual funds, while net purchases were made in stocks from industrial and consumer staple segments.
Interestingly, FIIs infused a net amount of about Rs 40,000 crore in Indian stocks in July-September period on the back of a slew of reforms initiated by the centre, pushing the broader Sensex to surge over 1,300 points or more than 7%.
Domestic MFs lowered their exposure to companies like ICICI Bank with sale of shares with an estimated $190 million, $100 million each in RIL and ONGC, $60 million in ITC, $50 million in Jindal Steel, $40 million each in BPCL, BHEL and HUL. On the other hand, they invested $240 million in Cairn India, $40 million in Canara Bank and $30 million in HDFC . — Agencies