Top mutual fund houses finding value in beaten down stocks

The top five mutual fund houses, HDFC AMC, ICICI Pru AMC, Reliance MF, Birla Sun Life AMC, and UTI AMC, which together hold about 55% market share in the mutual fund industry, have bought stocks that have taken a beating in January and where valuations have turned attractive.

India’s largest mutual fund house, HDFC Mutual Fund, have bought mid-cap stocks such as Redington India and Aditya Birla Fashion as their top picks in January, whereas ICICI Prudential Mutual Fund has bought into beaten down counters such as Coal India and Bharti Airtel.

Among the other top mid-cap picks, fund houses have bought into stocks such as Narayana Hrudayalaya and Genus Power Infra. Mutual funds invested Rs 6,700 crore in stocks during January, whereas foreign institutional investors (FIIs) sold stocks worth Rs 11,126 crore.