Equity mutual funds sold HDFC Bank in June, bought Kotak Mahindra Bank and exited 22 stocks entirely

The stock that saw the most increase in holdings by equity mutual funds in the month of June was Kotak Mahindra Bank.

In the month of June equity mutual funds saw just Rs 240 crore in inflows, the lowest data recorded by the Association of Mutual Funds (AMFI) so far this fiscal year. Open-ended equity schemes say investment of over Rs 5,250 crore in the month of May and in April the inflows were over Rs 6,200 crore. The changing sentiment was aided by heavy outflows witnessed in Multi Cap funds and Large Cap funds. Data shows that mutual funds sold some big banking names in June while 22 stocks were completely exited.

The stock that saw the most increase in holdings by equity mutual funds in the month of June was Kotak Mahindra Bank. The total shareholding of the lender with fund houses in May stood at 17.55 crore, which was 9.17% of the total share capital of the bank. In June the number of shares increased to 19.69 crore, 9.95% of the total share capital. According to data sourced by Prime MF Database, Kotak Mahindra Bank shares worth Rs 2,825 crore were bought by mutual funds. Second on the list was telecom major Bharti Airtel, witnessing net buys of Rs Rs 1,985 crore in June. Mutual funds increased their shareholding in the stock to 12.83% of the total share capital, increasing the net holding by Rs 2,447 crore.

SBI Life Insurance stocks were also bought in large numbers by fund houses, increasing the value of holding by Rs 1,322 crore as shares worth Rs 1,126 crore were bought, according to Prime MF Database. Other stocks that saw an increase in holding were Mukesh Ambani’s Reliance Industries Limited with over Rs 1,000 crore worth shares being bought, HCL Technologies, HDFC Life Insurance, and HUL. 

On the other end of the table, the stock that was most sold by mutual funds was India’s largest private bank, HDFC Bank. From 66.3 crore shares in May, the numbers of shares held were trimmed to 65 crore in June, translating to Rs 1,398 crore worth of sell orders. Tata Consultancy Services shares were also sold by fund houses. India’s largest mortgage lender, HDFC was also seen on the list of stocks sold. From holding 9.99% shares of the total share capital in June the shareholding was trimmed to 9.64% in June with Rs 999 crore worth of shares sold. Bajaj Finance, ONGC, Infosys, and State Bank of India were the other top stocks that were sold in the month of June, according to Prime MF Database.

Andhra Paper, Astec Lifesciences, Godawari Power, and Poly Medicure were the stocks that saw initial purchases by mutual funds in the month of June. 22 stocks were completely exited by mutual funds in June. Some of the big names that were completely exited include, Reliance Home Finance, Reliance Infrastructure, Dewan Housing and Finance Crop, Reliance Capital, Centrum Capital, and Indiabulls Integrated Services.