For the month of July 2021, mutual funds bought the most stocks, including Aditya Birla Fashion, Tata Chemicals, Shriram Transport, in the mid-cap space. As stock markets continued to hit record highs, defying discussions of high valuations, net inflows into equity mutual funds hit a new high in July, increasing nearly six times in a month.
Equity mutual funds hit record highs, with equity programs receiving a net ??22,583 crore, a significant jump of ??5,988 crore received in June. The influx pushed the mutual fund industry’s assets under management (AUM) to an all-time high of ??35 lakh crore at the end of July.
Major mid-cap stocks purchased by asset management companies (AMCs) include companies like Aditya Birla Fashion, Tata Chemicals, Shriram Transport, Godrej Industries, Macrotech Developers, Apollo Tires, The list also includes Emami’s names , TVS Motor, Coforge, Federal Bank, Ashok Leyland, Manapurram Finance, Bharat Forge.
Meanwhile, M&M Financial, Canara Bank, HPCL, IRFC, L&T Finance, Zee Entertainment, Max Financial were among the bestsellers in the mid-cap space by mutual funds in the month under review, according to analysis of the brokerage firm Edelweiss.
Mutual Funds (FMs) have enthusiastically participated in the recent Initial Public Offerings (IPOs) of Zomato, GR Infra, Tatva Chintan Pharma.
Indian stock markets hit record highs last week as a large number of companies reported strong earnings and some economic indicators pointed to a pickup in demand. The exuberance also led to a number of new fund launches which, in turn, resulted in flows to equity funds. Except savings linked to shares (ELSS) and value funds, which have withdrawn up to ??512 crores and ??462 crore, respectively, all stock programs saw an influx last month.
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