Mutual funds have an investment in listed/ unlisted funds of Rs 7.49 arba in Jestha compared to Rs 7.68 arba in Baisakh. Similarly, mutual funds have decreased bank balance from Rs 4.35 arba in Baisakh to Rs 4.24 arba. This shows that the mutual funds have bought shares. Mutual funds investment in debentures and public shares amounts to Rs 59.89 crores. Similarly, the funds also have invested 1.21% in primary shares which amounts to Rs 15.67 crores.
The top investments by mutual funds irrespective of sectors in the month of Jestha are as follows:
The top most bought stocks in Jestha by the overall mutual fund industry are as follows:
The top most sold stocks in Jestha by the overall mutual fund industry are as follows:
Investment in commercial banking industry accounts for the highest sector-wise investment of Rs 2.80 arba. Likewise, they have investment of Rs 96.5 crore in shares of microfinance companies, accounting for the second-highest sector-wise value. Non life insurance companies sector stands at the third highest investment priority for mutual funds with an investment worth Rs 89.64 crores.
Among the commercial banks, Nepal Bank Limited (NBL) is seen as the top priority for investment by mutual funds. It accounts an investment worth Rs 39.47 crores. NMB Bank Limited (NMB) stands at the second position with investment of Rs 20.24 crores. Global IME Bank Limited (GBIME) stands with the investment of Rs 18.63 crores.
As for the development banks, Muktinath Bikas Bank Limited (MNBBL) has the highest investment preference among mutual funds. The mutual funds have invested an amount worth Rs 12.90 crores. Shine Bank Limited (SHINE) is seen in the second position with an investment worth Rs 5.57 crores. Garima Bikas Bank Limited (GBBL) has an investment of Rs 5.33 crores at the third position.
Among the listed microfinance companies Sana Kisan Bikas Bank Limited (SKBBL), Chhimek Laghubitta Bikas Bank Ltd. (CBBL) and Deprosc Development Bank Ltd. (DDBL) were the top three investment priorities for mutual funds. Mutual funds invested Rs 16.61 crores in Sana Kisan Bikas Bank Limited (SKBBL), Rs 16.05 crores in Chhimek Laghubitta Bikas Bank Ltd. (CBBL), and Rs 13.65 crores in Deprosc Development (DDBL).
Life Insurance companies:
Among the life insurance companies in Nepal, Nepal Life Insurance Company Limited (NLIC), National Life Insurance Company Limited (NLICL) and Life Insurance Company Limited (LICN) are the investment companies of top priorities for mutual funds. Mutual funds schemes have around Rs 24.31 crore investments in NLIC, Rs 21.51 crore investments in NLICL and Rs 16.32 crores investment in LICN.
Non-Life Insurance companies:
Among the non-life insurance companies in Nepal, Sagarmatha Insurance Company Limited (SIC), Shikhar Insurance Company Limited (SICL) and NLG Insurance Company Limited (NLG) are the investment companies of top priorities for mutual funds. Mutual funds schemes have around Rs 18.65 crore investments in SIC, Rs 12.87 crore investments in SICL and Rs 12.56 crores investment in NLG.
The inclination of investment in hydropower companies for mutual funds was in Chilime Hydropower Company (CHCL) with an investment of Rs 15.27 crore, Butwal Power Company Limited (BPCL) with an investment of Rs 10.34 crore and Sanima Mai Hydropower Company (SHPC) with an investment of Rs 5.14 crore.
As for finance companies, the top three investments were ICFC Finance Limited (ICFC), Manjushree Finance Limited (MFIL), and Goodwill Finance (GFCL). Mutual funds invested an amount of Rs 54.23 lakhs in ICFC Finance, Rs 50.49 lakhs in Manjushree Finance and Rs 26.19 lakhs in Goodwill Finance Limited.
Among the three listed hotels in NEPSE, mutual funds have given higher priority to Oriental Hotels Limited (OHL) with an investment of Rs 2.33 crores.
The mutual fund schemes also invest in other mutual funds. The mutual funds have preferred as the Siddhartha Equity Oriented Scheme (SEOS) best scheme for investment. It has an investment that accounts to Rs 1.92 crore. NMB Sulav Investment Fund-1 (NMBSF1) falls under the second highest investment value mutual fund. It has an investment of Rs 1.88 crores. Finally Citizens Mutual Funds (CMF1) has a third highest investment of Rs 1.27 crores.
Manufacturing & Production:
Mutual funds have invested Rs 18.85 lakhs in Shivam Limited (SHIVM) and Rs 60.40 lakhs in Unilever Company Limited (UNL) and Rs 1.85 crores in Bottlers Nepal Terai Limited as of Jestha, 2075.
As for the others sector, mutual funds have invested Rs 32.45 crores in Nepal Doorsanchar Company Limited (NTC), Rs 16.64 crores investment in Citizen Investment Trust (CIT), and Rs 2.11 crores in Jalabidyut Lagani Tatha Bikas (HIDCL).
Preference shares and Promoter shares:
Similarly, the preference and promoter shares as per the choice of mutual funds are:
Hence, the overall analysis draws the top companies preferred by mutual funds for investment. This article might be helpful to the aspiring investors in the secondary market. What are your views on the mutual funds? Do you think the top investment decisions made by mutual funds are backed up with rationality? Please write to us in the comment section below.
(Disclaimer: Any kind of information that is provided in the article should not be used as a sole advice or recommendation by investors in order to design their investment portfolio. So, before taking steps for any kind of the information, the investors are required to base their judgment on their own financial analysis, appropriateness of the information and seek independent financial advice. The information of the company has been taken from the authorized sources such as website of the company, NEPSE, financial reports and press releases of the companies so, any changes not updated in these may differ in the analysis.)