Mutual funds reshuffled their stock portfolios in September 2026, increasing exposure to select large-, mid-, and small-cap stocks while cutting holdings in others. According to the latest Fund Folio -Indian Mutual Fund Tracker report by Motilal Oswal Financial Services, mutual funds were net buyers in 28 of the 50 Nifty stocks in September 2026, accounting for 56% of the benchmark's constituents. The buying trend extended to mid- and small-cap stocks, with mutual funds being net buyers in 54 of the Nifty Midcap 100 constituents and 55 of the Nifty Smallcap 100 stocks, representing 54% and 55% of the respective indices.
Among Nifty 50 stocks, BSE recorded the sharpest increase in mutual fund holdings in September 2026, rising 34.6% from August. Mutual funds held 6.49 crore shares of the company at the end of September. Dr Reddy's Laboratories followed with a 6% increase in mutual fund shareholdings, while Tata Steel and Bajaj Finance registered gains of 5.3% and 4% respectively. Cipla rounded out the top five, with mutual fund holdings rising 2.6% month-on-month. On the selling side, Adani Ports saw the steepest decline, down 5.5% month-on-month, followed by Tata Motors Passenger Vehicles with a 4.2% drop.
In the mid-cap segment, Swiggy saw the largest increase in mutual fund buying in September 2026, with the number of shares rising 19.8% month-on-month. Patanjali Foods followed with an 18% increase, while Astral recorded a 16.9% rise. On the selling side, Rail Vikas Nigam recorded the steepest decline, down 41.9% from August, followed by Lodha Developers with a 25.4% drop.
Among small-cap stocks, Cupid recorded the sharpest increase in shares held by mutual funds in September 2026, rising 337.7% month-on-month. Bharat Coking Coal followed with a 25.6% increase, while Vedanta Power and Godawari Power saw holdings rise 24.3% and 21.3% respectively. On the selling side, IDBI Bank recorded the steepest decline, down 44.7% from August 2026, followed by MRPL with a 33.9% drop, while Tata Chemicals saw holdings fall 11.9%.
ICICI Life Insurance delivered robust financial performance in H1 FY27, with net profit rising 26.5% year-on-year to ₹760 crore. The company's Value of New Business (VNB) Margin expanded significantly by 150 basis points YoY to 26.0%, up from 24.5% in H1 FY26. Embedded Value grew 12.2% YoY to ₹56,669 crore, while Total Premium Earned increased 15.3% YoY to ₹24,505 crore. The insurer's Assets Under Management stood at ₹3.29 trillion with a debt-equity mix of 59:41, maintaining a zero Non-Performing Assets ratio and solvency ratio of 229.9%, well above the regulatory threshold of 150%.
