Jefferies to include REC in its India long-only portfolio

Jefferies on Thursday said an investment in REC (formerly Rural Electrification Corporation) will be introduced in its India long-only equity portfolio, with a 4 per cent weighting. This, the foreign brokerage said, will be paid for by shaving the investments in HDFC Bank, Bajaj Finance, ICICI Prudential Life Insurance, and ICICI Lombard General Insurance by one percentage point each.

Shares of REC rose 2.04 per cent to close at Rs 112.35 on BSE.

Jefferies India long-only equity portfolio includes 18 shares, with Reliance Industries and ONGC having highest weightages of 10 per cent each. The portfolio comprises of several banking, financial and insurance (BFSI) names such as ICICI Bank (7 per cent weightage), HDFC Bank (7 per cent weightage), SBI (6 per cent weightage), Bajaj Finance (4 per cent weightage), ICICI Prudential Life Insurance (6 per cent weightage) and ICICI Lombard (6 per cent weightage).

Other stocks in its India long-only portfolio includes four real estate stocks namely Godrej Properties (4 per cent weightage), Century Textiles (4 per cent weightage), DLF (5 per cent weightage) and Macrotech Developers (6 per cent weightage).

Maruti Suzuki (5 per cent weightage) from auto sector, Larsen & Toubro (5 per cent weightage) from infrastructure, Adani Ports (4 per cent weightage) from transport and Container Corp of India (4 per cent weightage) from logistics sector are its other portfolio stocks.

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