FPIs go big on financials, mutual funds on energy, IT

Foreign portfolio investors (FPIs) added positions in stocks of financials, and reduced their exposure to the energy sector, an analysis of December 2018 quarter shareholding data by Morgan Stanley shows. Mutual funds (MFs), on the other hand, increased their allocation to information technology (IT) and energy stocks and pruned stake in consumer staples. FPIs upped stake in 28 companies, while reducing holdings in 44 in the Morgan Stanley top 75 universe during the quarter. On the other hand, MFs upped their holdings in 49 stocks but pared stake in 25. FPIs were seen aggressively buying stakes in eight stocks, including state-owned Power Finance Corporation (PFC). MFs’ holding rose by more than a per cent in 18 companies, of which the biggest increase was in Axis Bank. NRI (non-resident Indians) and OCB (overseas corporate bodies) aggressively bought shares of YES Bank, but also jumped shipped in case of Reliance Infrastructure. YES Bank was the biggest sell for FPIs, while MFs offloaded the most in Gail, during the quarter.