in fund’s portfolios, the allocation towards NBFCS stocks has also significantly shot up. In May 2014, investment in banks constituted 21.1 per cent of the overall equity portfolios and NBFCS constituted 5.5 per cent. This allocation now stands at 22 per cent in banks and 7.8 per cent NBFCS as of May 2017. Manager’s top NBFC holdings include stocks like
HDFC, Bajaj Finance, Max Financial Services, Bajaj Finserv and Cholamandalam Investment and Finance.
How much money have NBFCS attracted in the past one year as compared to banks (both private and PSBS)?
Over the last year, managers have been increasingly investing in financial stocks. While banking stocks have been witnessing large buying, there has been ever increasing focus towards NBFC stocks, especially in the housing finance space. The aggregate investments in banks has gone up from ₹89,000 crore to ₹144,000 crore. At the same time, manager investments in NBFC stocks have gone up from ₹28,000 crore to ₹51,000 crore.
Is there any thematic mutual fund scheme that invests primarily in NBFC stocks?
Investors who are looking to take NBFC exposure can look at investing in banking and financial services funds. While there is a larger allocation in these funds towards banking stocks, many funds also take a sizeable NBFC exposure in these funds, with the typical exposure in NBFC stocks ranging from 10-40 per cent.