Fund managers lap up banking stocks

Shares in the banking, information technology and pharmaceutical spaces were among the most preferred by equity fund managers in June. State Bank of India (SBI), the country’s largest bank in this segment, topped the buying chart after a long time. Fund managers added 119 million shares of SBI worth Rs 3,250 crore. Interestingly, the top three picks were all banks. The other two were ICICI Bank and Federal Bank. Fund managers say they are betting on banks with recovery in the economy. The interest in SBI and ICICI Bank comes when the two are planning initial public offerings (IPOs) of their insurance arms. Infosys also featured in the most bought list, while  Aurobindo Pharma was the most preferred pharmaceuticals stock. On the other hand, fund managers pared their holdings in blue-chip companies Reliance Industries, Hindustan Unilever, Larsen & Toubro and Maruti Suzuki. Petronet LNG and Motherson Sumi were the most sold counters.