The Hindu Business Line : Sundaram BNP Paribas S.M.I.L.E

Sundaram BNP Paribas S.M.I.L.E (Small and Medium Indian Leading Equities) Fund is an open-ended equity fund. It defines small and mid-cap stocks as any equity stock whose market capitalisation is equal to or lower than that of the largest stock by market cap in CNX Midcap index. The fund has a well-diversified portfolio of 72 stocks.

In the quarter ended November,

the fund stepped up exposure to sectors such as auto, construction, financial services, industrial manufacturing, software, pharma and services. It reduced allocations to cement, consumer goods, energy, media and metals.

In the auto sector, Rane Holdings and Sundaram Clayton were added afresh, while shares in Mahindra & Mahindra were accumulated. The fund trimmed exposure to Suprajit Engineering, Eicher, Amara Raja Batteries and Maruti Udyog.

In the construction space, Madhucon Projects and Tantia Construction were new entrants to the portfolio. Exposures to Jaiprakash Associates and Valecha Engineering were pared.

Banking stocks had a good run this quarter; this may have induced the fund to book profits and move out completely from the public sector banks such as Bank of India, State Bank of India and Punjab National Bank. Karur Vysya Bank gained entry into the portfolio.

Industrial engineering found fancy with the fund and exposure to the sector increased marginally. Texmaco, ABG Heavy Industries and Bimetal Bearing were accumulated. Frontline power equipment stock ABB moved in along with Indo Tech Transformer and Shanthi Gears.

Infosys Technologies, which triggered the re-rating of IT stocks, underwent profit-booking and moved out of the portfolio. Exposures to Satyam Computer and small-cap stock Four Soft were enhanced .TCS and NIIT Technologies were added afresh.

Though the pharma sector was an under-performer over the year, Dr. Reddy's, Shasun Chemicals and Lupin stepped into the portfolio while exposure to Sun Pharmaceuticals increased.

The fund reduced the exposure to cement stocks such as Chettinad Cement and ACC. Grasim was the new entrant.

More Stories on : Mutual Funds | Mutual Funds | Portfolio Moves

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page