January 2025 Equity MFs Insights: Market Jitters, SIP Resilience & Inflow Trends
January Kickoff: Equity Mutual Funds Face a Dip – Equity mutual funds took a hit at the start of 2025, with Net Assets Under Management (AUM) slipping 3.62% to ₹29.47 Lakh Cr. The decline was fueled by a correction in Mid Cap and Small Cap stocks, dampening investor sentiment.
Mutual Funds Double Down on High-Conviction Stocks – Equity mutual fund schemes are doubling down on fresh investments in high-potential stocks, showing a strong preference for companies like Adani Wilmar, Bajaj Finance, BSE, Maruti Suzuki, Trent, Apollo Hospitals, Grasim Industries, Kotak Mahindra Bank, M&M, Navin Fluorine, SRF, Cholamandalam Investment & Finance and Indus Towers. Adding to their aggressive stance, 23 equity mutual funds have also participated in the Laxmi Dental IPO, signaling confidence in new opportunities.
Equity Schemes Exit Key Positions in Major Companies – Several equity schemes have completely offloaded their holdings in companies like Waaree Energies, HCL Technologies, Kalyan Jewellers, Jindal Steel & Power, Dabur India, CDSL, Sona BLW Precision Forgings, Hyundai Motor India, Bajaj Housing Finance, Voltas, Motilal Oswal Financial Services, Hindalco Industries and Netweb Technologies India, signaling a shift in investment strategy.
Mutual Funds Boost Mid-Cap Bets, Trim Coforge & Indian Hotels – Among the top-traded mid-cap stocks, equity mutual fund schemes actively invested in Adani Wilmar, Dixon Technologies, Persistent Systems, Indraprastha Gas, IndusInd Bank, Max Healthcare, ICICI Lombard and Bharat Forge, signaling confidence in these stocks. On the flip side, some schemes opted to pare down holdings in Coforge and The Indian Hotels, indicating a strategic portfolio reshuffle.
For a comprehensive understanding and more insights, please go through our detailed report.