Infosys shares drop 4%; likely to impact mutual funds

Shares of Infosys have come off nearly 30% from their 52-week high of Rs 1,278 touched in June 2016

The four per cent drop in shares of Infosys on Thursday is likely to impact several equity mutual fund (MF) schemes. Infosys is one of the most-owned stocks by India's equity schemes with an allocation of over three per cent, or Rs 19,500 crore, of the total equity asset under management. Nearly 460 equity schemes (including exchange-traded funds or ETFs, Equity Linked Savings Scheme, and balanced funds) have invested in shares of Infosys. Put together, MFs own 191 million shares of the information technology (IT) major, making it the most-owned stock in the sector. Despite negative news flows for Indian