Reliance Growth bets on telecom; dumps engg, cement

Reliance Growth Fund augmented its weightage to food & beverages, telecommunication, while slashed its exposure to engineering & capital goods, cement, IT, utilities, manufacturing sectors. (Complete List - What is Reliance Growth Fund buying / selling?)

The analysis of the scheme for June 2008 shows that in the food & beverages sector, it bought Radico Khaitan and introduced Britannia Industries. Similarly, it also made fresh investments in telecom majors Bharti Airtel and Reliance Communication. 

In the engineering & capital goods sector, it purchased Crompton Greaves, BEML and exited AIA Engineering, and Greaves Cotton. In the cement & construction sector, it bought Jaiprakash Associates, but exited Madhucon Projects. It purchased HCL Technologies and exited Infosys in the IT pack. It exited Reliance Infra among utilities.

It bought Orient Paper, Jain Irrigation and Bombay Dyeing in the manufacturing sector. Though buying was seen in the sector, weightage for the same was down due to the fall in the prices of the stock held by the scheme.

Divis Labs, Jindal Steel and Reliance Industries were the top stocks held by the scheme in May. Metals & Mining (8.75%), Pharmaceuticals (7.14%) and Oil (5.21%) were the top invested sectors in the scheme's portfolio. (Check out - Top stocks held by Reliance Growth Fund).

The cash exposure of the scheme has increased from 20.42% to 25.41%. The total assets managed by the scheme were of Rs 5,269.73 crore as on May 31, 2008.
 
Over the last one-year, Reliance Growth Fund has yielded -3.2% returns as against -6.10% yielded by its benchmark BSE 100 as on July 10, 2008.

For more Mutual Fund Action in Market click here