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shyam (private) (62 Points)
02 December 2008
sara corner
(Stock Trading)
(41 Points)
Replied 02 December 2008
May proved to be one of the most volatile months in Indian equity markets in recent times. The Sens*x which witnessed an all time high of 12612 on May 10 came under the brutal attack of bears in later half and recorded its sharpest ever drop of 1644 points in a month to close below 11000 levels at 10398. Though FIIs were on selling spree MFs supported the markets with hefty buying in equities. MFs bought equities double the amount what they bought in the month of April with net investments of Rs 7893 crore while FIIs which made net investments of Rs 521 crore in the month of April turned seller and sold equities worth Rs 7354 crore in May. Top 10 scrips of Sens*x as per the returns generated by them in last one year and the strategy MFs followed regarding these scrips in the month of April were considered for this analysis. Topping the list is Reliance, which generated whopping 132% returns in last one year. |
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** (Returns of Sens*x for one year period ended May 2005-May 2006)
*(Returns of Sens*x for one month period ended on May 2006) |
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Reliance emerged as the topper among Sens*x scrips in last one year with returns of 131.59%. The stock hogged the limelight in recent times due to the listing of its subsidiary company Reliance Petroleum. The MFs substantially increased their holding in the scrip from 26.93 million shares in April 2006 to 33.64 million shares in May 2006. Reliance Mutual Fund in eight of its schemes was holding 73.49 lakh shares of the stock, which was highest among all fund houses. The fund house further hiked the exposure by buying 4.78 lakh shares. Recently launched Reliance Equity Fund alone bought 8 lakh shares. UTI Mutual Fund with 56 lakh shares was the second and bought highest 24.20 lakh shares. Nineteen of its schemes had the exposure to this stock with UTI Equity Fund holding highest 9.99 lakh shares. DSP ML Mutual Fund has sold the highest 1.63 lakh shares through four of its equity scheme. Of the 24 fund houses holding the scrip 6 fund houses have reduced their exposure in the month of May.
Bajaj Auto an auto giant was the second best performer with 123.64% returns during the year. 19 fund houses in 80 schemes had exposure in this scrip totaling 1.93 million shares up by 8.4% as compared to previous month. SBI Mutual Fund through 7 of its schemes was holding maximum 7.63 lakh shares and marginally hiked its exposure buying 38459 shares during the considered month. Franklin Mutual Fund followed it holding 2.28 lakh shares and offloaded maximum 99704 shares through three of its schemes. Franklin India Flexi Cap Fund turned out to be major seller and pared the exposure in the scrip by selling 1 Lakh shares. L&T posted hefty 121.5% returns in last one year. Twenty MFs in 130 schemes had 5.65 million shares with them in May 2006 as against 6.03 million shares in April end. Seven Fund houses out of the twenty MFs decreased their exposure in the month of May. Reliance MF offloaded all 3.09 lakh shares held in Reliance Equity Fund and was the biggest seller among all the fund houses. Franklin MF holding highest 15.6 million shares further hiked exposure in the scrip and bought 80489 shares in its various schemes. UTI Mutual Fund was another major buyer and bought 83294 shares. BHEL posted 115.94% returns in last one year. MFs increased their holding by 5.20% from 9.45 million shares in April 2006 to 9.95 million shares as of May end. HDFC MF is holding highest 18.05 lakh shares with it in twelve of its schemes and continued to hold same number of shares in the month of May too. HDFC Equity Fund had maximum 7.12 lakh shares however marginally reduced its exposure by selling 27200 shares. UTI Mutual Fund followed it having 14.54 lakh shares and bought highest 3.17 lakh shares through fifteen of its schemes. Out of the 19 fund houses holding this scrip six fund houses have reduced their exposure. ACC was another stock on the charts which delivered 102.38% returns in last one year. The MFs decreased their exposure in ACC from 10.30 million shares in April to 10.15 million shares in May 2006. 17 fund houses in 100 schemes had exposure in this scrip and went down by 1.45%. UTI Mutual Fund is holding highest 27.26 lakh shares and further acquired 5.05 lakh shares. SBI Mutual Fund followed UTI MF having 12.8 lakh shares. In 8 of its schemes it is holding 12.8 lakh shares for the month of May. Among all the fund houses Reliance sold highest 6.25 lakh shares in the considered month. Reliance Vision Fund offloaded 4.49 lakh shares. Though Pharma stocks in general were not best performer on the bourses in last one year but Cipla posted excellent 98.22% returns. The MFs had 10.41 million shares of this stock in the month of May. This figure was 10.19 million shares in the month of April. So it seems that there was lot of buying by the fund managers as far as this particular scrip is concerned.16 fund houses through 59 schemes had exposure in this particular scrip. SBI Mutual Fund offloaded 99956 shares but still accounts for highest 59.4 million shares for the month of May. HDFC Mutual Fund made fresh exposure in the scrip and added highest 17.54 lakh shares in three of its schemes. Franklin Mutual Fund was another fund to consolidate its holding by buying 7.95 lakh shares. |