HDFC, Hindalco Industries, Zomato, HDFC Life Insurance Company, FSN E-Commerce Ventures (Nykaa), Adani Total Gas, Indus Towers, JSW Steel, Tata Elxsi and UPL are among the top-ten large cap stocks bought by mutual funds in May 2023, while Life Insurance Corporation of India (LIC), Kotak Mahindra Bank, Indian Oil Corporation, Hero MotoCorp, Hindustan Aeronautics, Hindustan Zinc, Torrent Pharmaceuticals, Macrotech Developers, Eicher Motors and Pidilite Industries were among the top ten large caps sold by them, according to a report by ICICI Direct.
Among mid-caps, Vedanta Fashions was the top pick while Indian Railways Finance Corporation was dumped the most.
Here is a list of top 10 buys and sells in the mid-cap space.
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In the small-cap space, Jupiter Wagons, Astra Microwave Products, HEG Ltd, Globus Spirits, Mazagon Dock Shipbuilders, Ujjivan Financial Services were among the ten most sought after stocks, while Easy Trip Planners, Railtel Corporation of India, Nocil, Mastek, Matrimony.com were among the most sold.
Here are other key mutual fund trends observed in May 2023
Average assets under management (AAUM) of all mutual fund schemes touched a life-time high of Rs 42.95 trillion, which translates into dollar AUM of $ 521 billion.
On a year-onyear basis, the mutual fund AUM has grown 14.93%
Investments through the Systematic Investment Plan (SIP) route reached a record high of Rs 14,749 crore in May, compared to Rs 13,728 crore in April.
However, equity mutual fund inflow dipped in May 2023 after witnessing a net inflow of Rs 2,906 crore as compared to Rs 5,275 crore in April 2023, primarily due to profit booking by investors. This is the lowest since November 2022 when the equity fund inflow was Rs 2,224 crore.
In May, the small-cap inflow registered a fund inflow of Rs 3,283 crore as against Rs 2,182 in April.
Individual investors have 79% of their mutual fund assets in equity related schemes and 15% in longer period debt funds. "Individual investors have a share of just 42% in debt schemes and 13% in short term money market schemes. These are largely treasury products, so that is OK. However, individual investors have an imposing 89% share of equity fund AUM. What leaves to be desired, is that individual share of ETFs and FOFs is just 11% of AUM. Retail investors are apparently not leveraging passive products as well as corporates," said brokerage India Infoline.
According to the brokerage, average ticket size of retail investors in equity funds stands almost static at Rs 0.68 lakh. The folio holding data also contradicts the general apprehension that retail investors are myopic investors in equity funds. "As per the data of May 2023, retail investors hold nearly 56.5% of their equity fund investments for a period of more than 2 years against the general equity average of 44.9%. Individual investors are not more long term than other classes of investors. They hold 75-80% of the retail assets for at least 1 year," it said.
The total number of accounts (or folios as per mutual fund parlance) as on May 31, 2023 stood at 14.74 crore (147.4 million), while the number of folios under Equity, Hybrid and Solution Oriented Schemes, wherein the maximum investment is from retail segment stood at about 11.76 crore (117.6 million).