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A report released by Motilal Oswal Financial Services shows PPFAS MF, Quant MF and SBI MF are sitting on high cash piles as on March 2024.
PPFAS MF has the highest cash holding of 15.20% of the total equity assets. Its current equity valuation is Rs.46,000 crore.
Rukun Tarachandani, Equity Fund Manager, PPFAS MF attributes this to high valuation of equity markets. He said, “Our cash holding is a function of valuations that are currently there in the market. We look for opportunities in the market to deploy our capital. If there is no opportunity we hold cash. It also depends on the stock selection that you see a higher level of cash holding.”
Quant MF and SBI MF also have 9% and 8% of their equity holdings in cash. The equity valuation of Quant MF and SBI MF is Rs.57000 crore and Rs.6.44 lakh crore, respectively. In absolute terms, SBI MF has the highest cash holding in March 2024.
Next in the list are HDFC MF and ICICI Prudential MF with cash holding of 7.70% and 6.80%, respectively.
The next five fund houses with highest cash holdings were Bandhan MF (5.50%), DSP MF (5.30%), Motilal Oswal MF (5%), Axis MF (4.50%) and Franklin Templeton MF (4.4%).
Overall, the report shows that the MF industry held 5% of its equity assets in cash.
Note: Equity value represents the equity exposure of all MF schemes (including balanced and other schemes) and cash is derived by deducting equity AUM (Including foreign equity) from total AUM.
Let’s check the table to know more:
|
Trends in Top 20 Mutual Funds by equity value |
||
|
Mutual Funds |
Equity Value |
Cash Holding % as on March 2024 |
|
PPFAS Mutual Fund |
45,700 |
15.20% |
|
Quant Mutual Fund |
56,900 |
8.50% |
|
SBI Mutual Fund |
6,44,200 |
7.80% |
|
HDFC Mutual Fund |
3,55,000 |
7.70% |
|
ICICI Prudential Mutual Fund |
4,01,600 |
6.80% |
|
Bandhan Mutual Fund |
45,000 |
5.50% |
|
DSP Mutual Fund |
90,300 |
5.30% |
|
Motilal Oswal Mutual Fund |
34,200 |
5.00% |
|
Axis Mutual Fund |
1,69,000 |
4.50% |
|
Franklin Templeton Mutual Fund |
74,500 |
4.40% |
|
Tata Mutual Fund |
80,500 |
4.30% |
|
Canara Robeco Mutual Fund |
77,200 |
4.10% |
|
UTI Mutual Fund |
2,18,000 |
3.70% |
|
Kotak Mahindra Mutual Fund |
2,19,400 |
2.60% |
|
Sundaram Mutual Fund |
43,800 |
2.60% |
|
Nippon India Mutual Fund |
2,88,700 |
2.40% |
|
Aditya Birla Sun Life Mutual Fund |
1,45,000 |
2.40% |
|
HSBC Mutual Fund |
62,100 |
2.20% |
|
Invesco Mutual Fund |
49,600 |
1.70% |
|
Mirae Asset Mutual Fund |
1,39,200 |
0.90% |
|
Total |
32,39,800 |
4.90% |
