Mutual funds that have helped propel Indian stock indices to record highs have increased their allocation to financial services by the most in the seven months through July from a year ago.
Mutual funds’ allocation to the financial services sector rose to 30.43% at the end of July from 27.33% a year ago, according to data from research firm Morningstar.
Financials added the most value to mutual funds' holdings from start of the year to July, with private ICICI Bank Ltd leading the pack, as mutual funds added 40% more to their existing holdings.
This, coupled with price appreciation, added Rs12,264 crore to the value of the stock.
