Mutual funds brought down their exposure to some of the leading blue chip companies during the quarter ended December 2015.
According to data compiled by Capitaline, MFs substantially cut their holding in ITC ( by 10.88 percentage points) and Maruti Suzuki (2.02 ppt) during the quarter.
The reduction in their ownership in ITC comes at a time when the tobacco company is witnessing a consistent decline in volume growth on the back of unfavourable tax policy on cigarettes. During three months to December 2015, ITC reported below-expected growth in its revenue and net profit, while the underlying volume growth of 5% was against analysts’ expectations of 6-7%.
