Net Asset Value(s)

RNS Number : 4576G
India Capital Growth Fund Limited
07 May 2014
 



7 May 2014

India Capital Growth Fund Limited (the "Company" or "ICGF")

Net Asset Value statement as at 30 April 2014

Net Asset Value

The Company announces its Net Asset Value per share as at 30 April 2014 was 50.90 pence.

In April the Net Asset Value (NAV) was down 0.1% whilst the BSE Mid Cap Index was up 1.8%, delivering an under performance against the notional benchmark of 1.8% in Sterling terms. Against Ocean Dial's Composite Index, ICGF underperformed by 0.8%.

In local currency terms the NAV increased 1.8% for the month.

Portfolio update

Positive contributors to the portfolio's performance came from Kajaria Ceramics (up 28.2%), Jain Irrigation (up 24.8%), KPIT Technologies (up 7.4%) and J&K Bank (up 8.9%). Negative attribution came from Radico Khaitan (down 27.5%), Jyothy Labs (down 8.3%) and Dish TV (down 9.8%).

Market and economic update

There was a mixed performance for India's equity markets in April. The Sensex remained range bound, up just 0.14%, whilst the BSE Mid Cap Index rose 3.4%. Investors continue to build positions in mid cap stocks ahead of the election results which are announced in mid-May. Markets were well supported by strong FII equity net inflows of US$1.6bn in the month.

To date voting has taken place in 438 seats out of the 543 seats being contested in the general election and at 66.2%, versus 55.8% in previous elections, the voter turnout has been encouraging. Historically, a higher voter turnout has resulted in a change in government so this is reinforcing the market's belief that the pre-election opinion polls, which showed strong support for the opposition led BJP coalition, will be validated. The final result will be known on 16th May.

Following three months of falling inflation, food prices increased in March, causing CPI inflation to climb to 8.3%, higher than the market anticipated and despite February's CPI being revised downwards. In addition, the Indian Meteorological Department's first monsoon forecast predicts that India could suffer below-average monsoon rainfall in 2014. If upheld, and the forecasts are subject to revisions, this would cause further inflationary pressure, delaying further an easing in monetary policy.

The fourth quarter earnings season began on a good note, with the private sector banks reporting better than expected profitability and asset quality. The IT sector also reported generally in line with expectations.



 

Portfolio analysis by sector as at 30 April 2014




Sector

No. of Companies

% of Portfolio

Financials

8

23.5%

Industrials

8

19.2%

IT

5

13.8%

Consumer Staples

4

10.5%

Healthcare

3

10.4%

Materials

3

6.8%

Consumer Discretionary

2

6.3%

Energy

1

2.3%

Telecommunications

1

2.1%

Total Equity Investment

35

94.9%

Net Cash


5.1%

Total Portfolio

35

100.0%

 

 

 

Top 20 holdings as at 30 April 2014




Holding

Sector

% of Portfolio

KPIT Cummins Infosystems

IT

5.0%

Jyothy Laboratories

Consumer Staples

4.6%

Federal Bank

Financials

4.4%

Tech Mahindra

IT

4.1%

Kajaria Ceramics

Industrials

3.9%

Jammu & Kashmir Bank

Financials

3.8%

Motherson Sumi Systems

Consumer Discretionary

3.7%

Lupin

Healthcare

3.6%

Divi's Laboratories

Healthcare

3.5%

Dewan Housing

Financials

3.3%

Sobha Developers

Financials

3.3%

NIIT Technologies

IT

3.3%

IPCA Laboratories

Healthcare

3.3%

Eicher Motors

Industrials

3.2%

Yes Bank

Financials

3.1%

Emami

Consumer Staples

2.9%

Larsen & Toubro

Industrials

2.9%

Indusind Bank

Financials

2.7%

Dish TV India

Consumer Discretionary

2.6%

Berger Paints India

Materials

2.5%




Portfolio analysis by market capitalisation size as 30 April 2014




Market capitalisation size

No. of Companies

% of Portfolio

Small Cap (M/Cap <INR15bn)

1

0.6%

Mid Cap (INR15bn <M/Cap<INR100bn)

19

53.7%

Large Cap (M/Cap > INR100bn)

14

40.6%

Unlisted

1

0.0%

Total Equity Investment

35

94.9%

Net Cash


5.1%

Total Portfolio

35

100.0%




 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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