PPFAS Portfolio Churn: Large-Cap IT Stocks Drive Buying, PSU Holdings Experience Significant Selloffs in April
PPFAS Mutual Fund Invests Heavily in Beaten-Down IT Stocks Amid Market Volatility
The Indian stock market has been grappling with high volatility in the backdrop of the US-Iran war that began in late February, now in its third month. In this challenging environment, value investor Rajeev Thakkar-led PPFAS Mutual Fund deployed ₹1,768 crore last month, bringing down its cash allocation to 18.71% of the total assets.
According to data from PRIME Database, HCL Technologies, Infosys, and Tata Consultancy Services (TCS) remained the top three stocks in which the fund raised its stake last month, underscoring bottom fishing in the sector. The Nifty IT index remains the worst-performing index in 2026 so far, down over 22%.
| Stock | Buy Value (₹ crore) |
|---|---|
| HCL Technologies | 1417 |
| Infosys | 1181 |
| Tata Consultancy Services (TCS) | 847 |
| Indraprastha Gas Limited | 633 |
| ITC | 602 |
Read also: Expert Portfolio Manager Raja Venkatraman Names Top Investment Picks for June 4
PPFAS MF bought HCL Tech shares worth ₹1417 crore, Infosys shares amounting to ₹1181 crore, and TCS shares valued at ₹847 crore. This move aligns with Thakkar's recent remarks at an industry event, where he highlighted the sector's adaptability and resilience.
Thakkar argued that productivity gains from AI may ultimately expand demand rather than shrink it, drawing parallels with industries such as telecom and discount broking. He referred to the economic principle known as Jevons' Paradox, where lower costs can lead to higher overall consumption.
Apart from IT, PPFAS MF significantly bought shares of Indraprastha Gas Limited to the tune of ₹633 crore and ITC worth ₹602 crore. M&M, HDFC Bank, ICICI Bank, and Cipla were among the other top purchases last month.
On the other hand, PPFAS reduced its stake in three PSU stocks in April. Power Grid saw selling worth ₹91 crore, Coal India worth ₹29 crore, and SBI worth ₹10 crore. Meanwhile, Balkrishna Industries was the stock which the fund house sold the most at ₹538 crore, followed by Bajaj Finance with a sale of ₹19 crore.
Investor Takeaway
Investors should be cautious of high volatility in the market and consider bottom fishing in beaten-down sectors like IT.
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