Mutual funds houses have been investing in shares of ITC due to its cheap valuations compared with the available stocks in the FMCG sector.
ITC Country’s 4th largest company by market cap which rose a little over 11 percent so far in the year 2017 saw some bulk-purchasing interest from mutual fund managers in September ahead of its financial results.
Fund managers bought Rs 1,433 crore worth of ITC shares in September, according to data compiled by Morningstar India which led to over 10 percent month-on-month increase in their holding. The market value of total mutual fund holding in ITC is nearly Rs 15000 crore.
The top 10 mutual funds, by assets under management, purchased 4.15 crore shares of ITC in September.