Skip to main content

Top 14 stocks which some MFs added for the first in the month of May

The domestic mutual funds pumped in over Rs 20,000 crore in the stock market during April-May, said a PTI report. The flows were largely concentrated around the mid and smallcap space, suggest experts.

Indian market rallied as much as 17 percent so far in the year 2017 led by consistent infusion of funds by mutual funds (MFs) even as foreign portfolio investors (FPIs) slowed down their buying.The domestic mutual funds pumped in over Rs 20,000 crore in the stock market during April-May, said a PTI report. The flows were largely concentrated around the mid and smallcap space, suggest experts. NSE STOCK TIPS

The small and midcap space has been on investor’s radar for the past three years and has gained momentum since then. The S&P BSE Mid and Smallcap index almost doubled in the same period.

A similar trend was seen in the month of May. Some mutual funds invested in small & midcap stocks for the first time in the month of May which includes names like 3D PLM Software, Carbogen Amcis India, GKW, Gufic Biosciences, Meghmani Organics, PSP Projects among others, according to data given by IDBI Capital.

"The flows to mid and smallcap MFs continue to be strong. Retail investors have a clear bias towards mid and smallcaps. They are not concerned about valuation. These relentless flows leave no option to the fund manager but to invest in mid and small caps,” Dr VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services told Moneycontrol.

“Fund managers of Flexi cap funds have the flexibility to switch to large caps where there is much higher valuation comfort. But mid and small cap fund managers do not have this flexibility. This explains this trend,” he said.

Mutual fund managers invested a net sum of Rs 11,244 crore in stock markets in April and Rs 9,358 crore in May, taking the total to Rs 20,602 crore, as per data released by the Securities and Exchange Board of India (Sebi).

The recent rise of mutual fund investing is likely to stay as other asset classes have turned unfavourable such as Gold, real estate, and fixed income.

“The recent drive on black money has curtailed options for investors where they could put their cash to use in real estate, gold and FDs,” Dhiraj Relli, MD & CEO, HDFC Securities told Moneycontrol.

“We see accelerated growth in the fancy for equities, as returns are tax-free if held for more than a year. Besides, rising income levels would mean that more money comes into the system than ever before,” he said.

Equity mutual funds added over 6.5 lakh folios in May, taking the total number of folios to an all-time-high of 3.35 crore. The trend of increased attention and interest in mutual funds is here to stay. In fact, it will slowly increase.

According to AMFI, Mutual Fund Systematic Investment (SIP) inflows grew by 7% or Rs315 crore in May on a monthly basis, receiving Rs 4,585 crore in May, against an inflow of Rs 4,270 crore in April. It was Rs 2000 cr in 2015.

Relli further added that the number of SIP accounts has surged by 40 percent this year. Besides, in a regime of low interest rates, the investor’s fancy for fixed return debt instruments will decline.
www.shristocktips.com

Comments

Popular posts from this blog

Nifty could slip towards 9,900; 3 stocks which could give up to 11% return

A close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

The Nifty index Futures continued to slide lower for the second month in a row making it 10 percent decline from the record highs. Further, it has broken down from a broadening wedge pattern along with a close below the 200-DMA, affirming weakness dominant in the markets at the moment.

A sustained trade below 10,050 can accelerate the fall to levels of 9,930-9,700. However, a close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

Moreover, the relative strength index or the RSI has turned down from the neutral levels of 50 on two occasions in recent pullbacks suggesting further weakness in the coming trading sessions.

Here is the list of stocks which can give up to 11 percent return:

Arvind Ltd: SELL| Target Rs345| Stop Loss Rs410| Return 11%

On the weekly chart, Arv…

Market Update: PSU bank index outperforms as PNB, Syndicate Bank jump 2-5%; JP Associates zooms 11%

The market breadth was in favour of the advances with 957 stocks advancing while 668 declined and 383 remained unchanged. On the other hand, in the BSE, 1176 stocks advanced and 888 declined and 108 remained unchanged.

The Indian markets on Friday morning were trading flat with the Nifty shedding 51 points or 0.49 percent  while the Sensex was down 178 points.

The Nifty PSU banking index was up 0.6 percent led by stocks like Syndicate Bank which jumped 5 percent followed by Allahabad Bank which gained over 3 percent. IDBI Bank and OBC were the other gainers. PNB gained 2.38 percent.

The top Nifty gainers included Mahindra & Mahindra and Aurobindo Pharma which were up 1.7 percent each followed by UPL, Yes Bank and Zee Entertainment.

The top Nifty losers included IOC and BPCL which fell 2 percent each followed by HPCL, Tata Motors and NTPC.

The most active Nifty stocks included IDBI bank which jumped over 3 percent while JP Associates zoomed over 10 percent after Rakesh Jhunjhunwala…

HDFC Sec retains sell on Bharti Infratel, reduces target to Rs 310 despite 22% fall in last 2 months

The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

Bharti Infratel shares declined 1.5 percent to close at Rs 368 on Tuesday after HDFC Securities has reiterated its Sell rating on the stock with revised target price at Rs 310 (from Rs 387 per share) despite sharp fall in last two months. INDIAN STOCK TIPS

The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

"Target price is based on 20x Dec-19E EPS (Rs 356) for business as usual (versus 24x earlier) less impact of Rs 60 per share from Vodafone-Idea merger (versus Rs 39 per share earlier) and likely acquisition of Vodafone-Idea stake in Indus at enterprise value of Rs 50 lakh per tower (+Rs 15 per share)," the research house said.

It further said the key reason for the de-rating is instant loss of tenancies on merger of Vodafone-Idea and impact of Reliance Communications and Aircel businesses’ scaling down.

This would push back Bharti Infrat…