Life Insurance Corporation of India (LIC) is one of the largest institutional investors in India, and its annual investments dwarf those of foreign portfolio investors (FPIs) and other investor categories. Hence it is interesting to know LIC is making investments to get the returns that it needs to service its millions of policies. The below table explains the investment pattern of LIC.
|
Category |
Amt in Lakh crore |
% |
Remarks |
|
Sovereign-backed asset |
14.81 |
37.45 |
|
|
Equities |
9.8 |
24.77 |
|
|
State-government securities |
9.7 |
24.62 |
|
|
Others |
5.19 |
13.16 |
|
|
Total |
39.50 |
100.00 |
|
* Data of September 2021.
LIC saw
a yield of 13.69% on equities in the first six months of the fiscal 21-22,
taking into account dividends and realized gains. However, if unrealised gains
are also factored in, the yield shoots up to a whopping 280.19%.
Meanwhile,
the yields on debt and fixed deposits were around 7.6% in the six months period
ended September 30, 2021. Within the debt segment, nearly 88% of the
investments were in sovereign paper, followed by 8.05% in AAA-rated bonds and 1.95%
in AA-rated or higher.
Here
is a breakdown of the yields:
- Equities: 13.69%
- Debt: 7.6%
- Fixed deposits: 7.6%
Out of the 273 equity stocks which LIC hold,
there are 12 stocks which delivered at least 20% return. The below table provides.
|
Company name |
YTD Return |
LIC Holding |
Market Value (Cr.) |
|
RVNL |
73% |
6.38% |
1574 |
|
Kirloskar Electric |
64% |
1.26% |
9 |
|
Aurobindo Pharma |
41% |
5.57% |
2016 |
|
Welspun India |
31% |
3.74% |
373 |
|
Responsive Industries |
28% |
3.56% |
143 |
|
Glenmark Pharma |
28% |
2.93% |
449 |
|
ITC |
28% |
15.27% |
80493 |
|
Oil India |
24% |
11.31% |
3167 |
|
Siemens |
24% |
2.63% |
3284 |
|
Tata Motors |
24% |
5.21% |
8313 |
|
Rites |
22% |
8.15% |
812 |
|
Oracle Financial |
20% |
3.82% |
1199 |
No comments:
Post a Comment