AMFI reclassification: Smallcap stocks that got upgraded to midcaps. Do you own them?
Mutual funds schemes rejig their portfolios based on this classification aligning with the regulator’s mandate. Especially, midcap schemes are likely to add exposure in these stocks to maintain the stipulated limit
The updated list of stocks that are classified based on the latest market capitalisation data is out. The mutual fund (MF) industry body AMFI conducts the exercise of reclassifying stocks as per their market capitalization twice a year in July and January. Large-cap stocks: Top 100 companies in terms of full market capitalisation; Mid-cap stocks: 101st to 250th stock; Small-cap stocks: from 251th stock onwards. Based on this reclassification, MFs rejig their portfolios. The latest data shows that 9 stocks graduated from being small-caps to mid-caps. Expect mid-cap funds to add these new stocks. These stocks are getting more visibility and put under the watch list of the fund managers. but it is unlikely that the fund managers could flock into these stocks with sizeable corpus. Portfolio data shown below are as of May 31, 2023. (Source: AMFI and ACEMF).
2/10
Punjab & Sind Bank Total number of active equity schemes that held the stock: Nil A sample of active schemes that held significant exposure: Nil
3/10
Carborundum Universal Total number of active equity schemes that held the stock: 83 A sample of active schemes that held significant exposure: IDBI Dividend Yield, Kotak Small Cap and SBI Infrastructure Fund
4/10
Fertilizers and Chemicals Travancore Total number of active equity schemes that held the stock: Nil A sample of active schemes that held significant exposure: Nil
Bank of Maharashtra Total number of active equity schemes that held the stock: Nil A sample of active schemes that held significant exposure: Nil
6/10
Rail Vikas Nigam Total number of active equity schemes that held the stock: 4 A sample of active schemes that held significant exposure: Bank of India Flexi Cap and Bank of India Large & Mid Cap Equity
The New India Assurance Company Total number of active equity schemes that held the stock: 1 A sample of active schemes that held significant exposure: SBI Long Term Equity Fund
8/10
Jindal Stainless Total number of active equity schemes that held the stock: 21 A sample of active schemes that held significant exposure: ICICI Pru Commodities, Bank of India Mid & Small Cap Equity & Debt and Tata Resources & Energy Fund
Bharat Dynamics Total number of active equity schemes that held the stock: 31 A sample of active schemes that held significant exposure: Invesco India PSU Equity, HDFC Flexi Cap and ITI Small Cap Fund.
10/10
IIFL Finance Total number of active equity schemes that held the stock: 7 A sample of active schemes that held significant exposure: WOC Mid Cap, WOC Flexi Cap and HSBC Small Cap Fund.
