What's hot, what's not with mutual funds?

Mutual funds, MFs bought shares of power trading company PTC India, oil & gas exploration companies like Reliance Petroleum and Cairn India, while reduced exposure to Indian Overseas Bank, one of the FMCG major Marico and one of the telecom major Idea Cellular. Oil & gas, broking, real estate and media (especially broadcasters) stocks dominated the top 50-buy list, while selling was seen in shares of FMCG, sugar and banking companies. Stocks were re-aligned on the large scale in the power related stocks. Re-alignment was also seen in technology, shipping, telecom and construction sectors. In terms of value, Bharti Airtel, ONGC and Cairn India were the top purchases by MFs, while SBI, ICICI Bank and Axis Bank topped the sell list.

Top shares traded by MFs (based on volume)
Top 5 shares bought	No. of Shares
PTC India	17,988,397
Reliance Petroleum	12,324,496
Cairn India	9,579,261
Suzlon Energy	9,007,330
NIIT	7,756,730
Top 5 shares sold	No. of Shares
Indian Overseas Bank	-9,556,259
Marico	-8,893,747
Idea Cellular	-7,522,823
United Phosphorous	-7,412,137
Hindustan Unilever	-6,717,630

A study of the top ten mutual funds' equity portfolios like Templeton, SBI, Tata, ICICI, HDFC, Birla Sun Life, Reliance, Kotak, DSP BR and UTI MFs as on May 31, 2009 revealed that five out of the six funds bought PTC India (was among the top five bought stocks in terms of value). Templeton MF was the top buyer of the stock with over 59 lakh shares bought. Among other power related stocks, Suzlon Energy, GMR Infrastructure, NTPC, GVK Power and BGR Energy Systems were bought while Reliance Infrastructure, Areva T&D, Power Finance Corporation, Rural Electrification Corporation, Neyveli Lignite and Power Grid Corporation were sold. Last month the UPA (United Progressive Alliance) came in the power for another five-year term, which must have resulted this huge realignment.
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