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Mutual funds: What's hot this week
 
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July 14, 2006
Mutual funds bought pharma, manufacturing, auto, and FMCG stocks in June. Metal, banking, and oil and gas stocks weighed heavy on their sell list, while stocks were re-aligned in the IT, cement and construction, power, media, and telecom pack. Funds bought huge chunks of KEC Infrastructures [Get Quote], and Ashok Leyland [Get Quote], while diluted exposure to MphasiS BFL and Hindalco [Get Quote].

Meanwhile, in contrast to the several past months, not many IPOs attracted MFs in June. Deccan Aviation [Get Quote], Unity Infraprojects [Get Quote], and Allcargo Global Logistics [Get Quote] were the ones, which were picked by funds. In terms of value, Siemens, ONGC [Get Quote], and Hindustan Lever [Get Quote] were the top purchases by MFs, while Infosys [Get Quote], Reliance Industries [Get Quote], and Tata Steel [Get Quote] topped the sell list.

Top shares traded by MFs (based on volume)
Top 5 shares boughtNo. of Shares
KEC Infrastructures20,849,552
Ashok Leyland14,379,836
Essel Propack [Get Quote]12,578,150
Siemens7,532,463
Steel Authority of India6,859,606
Top 5 shares soldNo. of Shares
Mphasis BFL13,387,866
Hindalco Industries10,631,846
ITC6,852,443
Tata Steel4,874,264
Assam Company3,529,997

A study of the top ten mutual funds' equity portfolios as on June 30, which are UTI, Prudential ICICI [Get Quote], HDFC [Get Quote], Templeton, Reliance, SBI [Get Quote], Birla SunLife, Kotak, DSP ML, and HSBC reveals that four out of the ten MFs added to their investments in KEC Infrastructures. SBI MF was the top buyer of the stock with over 195 lakh shares bought. Ashok Leyland, the second top buy in terms of volume, was bought by six out of the ten funds. Templeton MF was the top buyer of the stock with 102 lakh shares bought. Among other auto stocks bought, Rico Auto, Apollo Tyres [Get Quote] topped the buy list, while Amtek Auto [Get Quote], and Tata Motors [Get Quote] were among the top sells.

MphasiS BFL - the top sell was sold extensively by Templeton MF with over 98 lakh shares sold. Pru ICICI, Birla, SBI, DSP ML, and HDFC MF also sold the stock, while Kotak MF added to its investments in it. Among other IT stocks sold, Satyam [Get Quote], Infosys, and Tulip IT topped the sell list, while Aztec, HCL Infosystems [Get Quote], Wipro [Get Quote], and Polaris [Get Quote] were among the other top buys.

Among the IPOs that listed in June, UTI MF bought over 7.6 lakh shares of Deccan Aviation, Pru ICICI MF bought over 1.7 lakh shares of Unity Infraprojects, while Kotak and SBI MF purchased over 1 lakh and 38,000, each of Allcargo Global Logistics.
 
Top shares traded by MFs (based on value)
Top 5 shares boughtValue (Rs in cr)
Siemens666.81
ONGC257.94
Hindustan Lever146.95
Zee Telefilms115.98
GSK [Get Quote] Pharmaceuticals83.67
Top 5 shares soldValue (Rs in cr)
Infosys Technologies280.56
Reliance Industries276.92
Tata Steel259.94
Mphasis BFL202.89
Hindalco Industries186.00
Telecom pivotal Siemens, the top bought stock in terms of value, was bought by all ten mutual funds. HDFC MF was the top buyer with over 25 lakh shares bought. Among other telecom stocks, ITI was bought, while Bharti Airtel [Get Quote], and Sterlite Industries were among the top sells.

IT bellwether Infosys, the top sold stock in terms of value, was bought by UTI, Templeton, Reliance, HDFC, SBI, and Birla MF. UTI MF was the top seller with over 8.95 lakh shares sold. However, Pru ICICI, HSBC, Kotak, and DSP ML MF added to their investments in the stock.
 
Pharma stocks Cipla, GSK Pharma, Ipca Labs, Glenmark [Get Quote], and Novartis [Get Quote] were among the top buys, while Ranbaxy [Get Quote] was sold. Manufacturing stocks Essel Propack, Tamilnadu Newsprint, Ballarpur, Asahi India Glass [Get Quote], and SRF also attracted MFs. In the FMCG pack, Hindustan Lever, Eveready Industries, GSK Healthcare, and Marico were among the top buys, while ITC was a prominent sell.

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