Mutual Fund Update: Stocks ditched by fund managers in Feb
DSIJ IntelligenceCategories: MF Unlocked
As every coin has two sides and mutual funds are no different in that sense. Fund managers not only buy but also sell. It becomes equally important to know what they are selling. So, let’s find out.
In our last update, we listed the top 5 stocks that attracted fund manager in the month of February 2019. Now let's have a look at the top 5 stocks that witnessed a lot of selling from fund managers.
| Stock Name | Sector | Classification | Month | Net Qty Sold | Approx. Sell Value(In Cr) |
| Tech Mahindra Ltd. | Technology | Large-Cap | Feb-19 | 7441842 | 581.23 |
| Adani Ports and Special Economic Zone Ltd. | Infrastructure | Large-Cap | Feb-19 | 16727822 | 555.78 |
| Indian Oil Corporation Ltd. | Energy | Large-Cap | Feb-19 | 36578775 | 514.78 |
| UPL Ltd. | Chemicals | Large-Cap | Feb-19 | 5308663 | 441.71 |
| Bajaj Auto Ltd. | Automobile and Ancillaries | Large-Cap | Feb-19 | 1453581 | 396.44 |
In the month of January 2019, energy and technology stocks witnessed selling pressure from the fund managers. However, in the month of February 2019, the top five stocks that fund managers sold were from different sectors viz. technology, infrastructure, energy, chemicals and automobile and auto ancillaries.4
If we look sector-wise, then the financial sector seems to be on the top with an approximate sell value of Rs. 2,567.82 crore, followed by automobile and ancillaries and technology sector with an approximate sell value of Rs. 1,523.58 crore and Rs. 1,452.71 crore, respectively.
Now, if we take a look market cap-wise, then large-cap witnessed the highest selling with an approximate sell value of Rs. 7,455.49, followed by mid-cap and small-cap with an approximate sell value of Rs. 1,988.70 crore and Rs. 1769.58 crore, respectively.
So, the intention of the above analysis is only for the purpose of understanding the activity of mutual funds and gauging the fund managers approach and it in no means is a recommendation to buy or sell stocks. It is always advisable to have a financial plan in place which must be followed with discipline and investments in mutual funds should be based on your individual risk assessment.