These Low Volatility Stocks are Popular Among Conservative Hybrid Funds. Do you hold any of these stocks?

Leading low volatility stocks preferred by conservative hybrid mutual funds.

 Low Volatility Stocks Among Conservative Hybrid Funds

Investments made in the stock market need regular monitoring because of the volatile nature of the market. Even when you invest through mutual funds, you must have a look at the fund's performance every now and then. You may have to rebalance your portfolio to replace poorly performing funds with promising alternatives. However, for long-term equity investing many investors prefer low volatility stocks among conservative hybrid funds, whether it is direct share investment or through funds for the low market risk involved.

What is Conservative Hybrid Funds?

Conservative hybrid funds are mutual funds that invest between 75% and 90% of their total assets in debt and the remaining 10% to 25% in equity.

So, do you own any low volatility stocks or yet to buy? 

Also Read: Volatility market bothering you? Try this strategy

Best Low Volatility Stocks Among Conservative Hybrid Funds

Let's look at some of the shares that are popular among conservative hybrid funds, that you may consider investing into it if you have not already. 

  1. ICICI Bank – As many as 84 mutual fund schemes have investments in ICICI Bank. Mutual funds hold 28.79% of the stock at the end of the September 2022 quarter. 
     
  2. Infosys – The IT giant appeared in the portfolio of 38 mutual fund schemes at the end of the September 2022 quarter. Mutual fund holdings in Infosys increased from 14.98% to 17.59% in the September 2022 quarter. 
     
  3. Reliance Industries – 83 mutual fund schemes have Reliance Industries in their portfolio as of September 2022 quarter, three less than the previous quarter. Given its massive market capitalisation, it is no surprise that a mutual fund holding of 5.68% may seem less. In terms of money value, it amounts to around Rs 97,000 crores.
     
  4. HDFC Bank – Private sector banking leader HDFC Bank seems omnipresent in the mutual fund sector, being a part of 499 mutual fund schemes. Fund schemes hold 18% of HDFC Bank’s shareholding, which is around Rs 152,000 crores in volume.
     
  5. SBI – The biggest bank in India is another popular choice for mutual funds, including conservative hybrid schemes. 70 mutual fund schemes continue to hold SBI shares as a part of their portfolio. Mutual funds have increased their holding in SBI over the last two quarters from 13.18% to 13.3%. 
     
  6. NTPC – 36 mutual fund schemes have National Thermal Power Corporation. This amounts to a holding of 18.34% in the September 2022 quarter. NTPC is a Nifty 50 stock engaged in power generation and distribution.
     
  7. Bharti Airtel – Telecom giants Airtel feature in the portfolio of 36 mutual fund schemes. They hold 10.74% of the company’s shares. This amounts to Rs 50,888 crores in volume.
     
  8. Axis Bank – Another private sector bank to close the list is Axis Bank. This high-flying stock is held by 38 mutual funds, up from 36 in the previous quarter. Mutual funds hold a substantial 23.69% of the bank’s shares.

Also Read: Returns of 50 mutual fund that have completed 25 years this year

The presence of these stocks has been noted in leading conservative hybrid mutual funds like Kotak debt hybrid funds, Aditya Birla Sunlife regular savings fund, ICICI Prudential regular savings fund, Canara Robeco conservative hybrid fund, SBI conservative hybrid fund, Franklin India debt hybrid fund, HDFC hybrid debt fund, UTI regular savings fund and Axis regular saver fund.

The volatility of a stock is a volatile subject, to begin with. However, to invest in hybrid funds and monitor them regularly, the Nifty 100 Low Volatility 30 index is a good place to look for this type of stock. In this index, you have largecap stocks with strong market capitalisation and lower volatility, making them safe long-term investments. 

Also read: Why are mutual fund managers focusing on large-cap stocks?

Disclaimer: This article is intended for general information purposes only and should not be construed as investment or legal advice. You should separately obtain independent advice when making decisions in these areas.

Investments made in the stock market need regular monitoring because of the volatile nature of the market. Even when you invest through mutual funds, you must have a look at the fund's performance every now and then. You may have to rebalance your portfolio to replace poorly performing funds with promising alternatives. However, for long-term equity investing many investors prefer low volatility stocks among conservative hybrid funds, whether it is direct share investment or through funds for the low market risk involved.

What is Conservative Hybrid Funds?

Conservative hybrid funds are mutual funds that invest between 75% and 90% of their total assets in debt and the remaining 10% to 25% in equity.

So, do you own any low volatility stocks or yet to buy? 

Also Read: Volatility market bothering you? Try this strategy

Best Low Volatility Stocks Among Conservative Hybrid Funds

Let's look at some of the shares that are popular among conservative hybrid funds, that you may consider investing into it if you have not already. 

  1. ICICI Bank – As many as 84 mutual fund schemes have investments in ICICI Bank. Mutual funds hold 28.79% of the stock at the end of the September 2022 quarter. 
     
  2. Infosys – The IT giant appeared in the portfolio of 38 mutual fund schemes at the end of the September 2022 quarter. Mutual fund holdings in Infosys increased from 14.98% to 17.59% in the September 2022 quarter. 
     
  3. Reliance Industries – 83 mutual fund schemes have Reliance Industries in their portfolio as of September 2022 quarter, three less than the previous quarter. Given its massive market capitalisation, it is no surprise that a mutual fund holding of 5.68% may seem less. In terms of money value, it amounts to around Rs 97,000 crores.
     
  4. HDFC Bank – Private sector banking leader HDFC Bank seems omnipresent in the mutual fund sector, being a part of 499 mutual fund schemes. Fund schemes hold 18% of HDFC Bank’s shareholding, which is around Rs 152,000 crores in volume.
     
  5. SBI – The biggest bank in India is another popular choice for mutual funds, including conservative hybrid schemes. 70 mutual fund schemes continue to hold SBI shares as a part of their portfolio. Mutual funds have increased their holding in SBI over the last two quarters from 13.18% to 13.3%. 
     
  6. NTPC – 36 mutual fund schemes have National Thermal Power Corporation. This amounts to a holding of 18.34% in the September 2022 quarter. NTPC is a Nifty 50 stock engaged in power generation and distribution.
     
  7. Bharti Airtel – Telecom giants Airtel feature in the portfolio of 36 mutual fund schemes. They hold 10.74% of the company’s shares. This amounts to Rs 50,888 crores in volume.
     
  8. Axis Bank – Another private sector bank to close the list is Axis Bank. This high-flying stock is held by 38 mutual funds, up from 36 in the previous quarter. Mutual funds hold a substantial 23.69% of the bank’s shares.

Also Read: Returns of 50 mutual fund that have completed 25 years this year

The presence of these stocks has been noted in leading conservative hybrid mutual funds like Kotak debt hybrid funds, Aditya Birla Sunlife regular savings fund, ICICI Prudential regular savings fund, Canara Robeco conservative hybrid fund, SBI conservative hybrid fund, Franklin India debt hybrid fund, HDFC hybrid debt fund, UTI regular savings fund and Axis regular saver fund.

The volatility of a stock is a volatile subject, to begin with. However, to invest in hybrid funds and monitor them regularly, the Nifty 100 Low Volatility 30 index is a good place to look for this type of stock. In this index, you have largecap stocks with strong market capitalisation and lower volatility, making them safe long-term investments. 

Also read: Why are mutual fund managers focusing on large-cap stocks?

Disclaimer: This article is intended for general information purposes only and should not be construed as investment or legal advice. You should separately obtain independent advice when making decisions in these areas.

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