The Hindu Business Line : ICICI Prudential Tax Plan: Still high on mid-caps

ICICI Prudential Tax Plan is one of the more aggressive funds in the ELSS universe and is known for actively churning its portfolio and timing stock calls based on market conditions. Even as a number of tax-savings funds have shed their mid-cap bias and moved to a more neutral portfolio, ICICI Prudential continues to hold to its strategy of relatively higher exposure to the mid and small-cap market cap segment. We take a look at the changes made to the fund’s portfolio over the three months, May-July 2007.

Sector shuffle: Over the above period, the fund has shuffled its exposure to various sectors. Pharma segment, which occupied the top slot until April, was replaced by consumer non-durables. Banking stocks took a backseat while software space once again found favour with an asset allocation of 13.5 per cent in July. Holding in capital goods however, declined.

Stock moves: While the fund’s portfolio continued to hold most of the pharma stocks that it held three months ago, a few such as Ahlcon Parenterals and Alembic witnessed a significant reduction in holding. Glenmark Pharmaceutical s was completed sold.

In the consumer non-durable segment, it accumulated Hindustan Sanitaryware and Venky’s India and reduced exposure to Harrisons Malayalam. ICI and Gillette India, with marginal addition in shares held, witnessed strong increase in their market values.

In the software sector, HCL Technologies and Tata Consultancy Services were new additions to the portfolio, while 3i Infotech, Megasoft and Infosys saw increased exposure.

The fund appeared to have taken a cautious view on the banking segment as it shed its holding from 9.5 per cent in April to 6.4 per cent now. Andhra Bank and Punjab National Bank took the exit route although holding in ING Vysya Bank almost doubled. ICICI Bank was retained with some marginal increase in the number of shares held.

The fund added two new sectors to its portfolio. With the addition of Sesa Goa, it entered the ferrous metals segment with a 3 per cent holding. Similarly it allocated 2 per cent to the finance sector, by buying SREI Infrastructure Finance.

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

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