PPFAS Portfolio Churn: Rajeev Thakkar-led fund house buys large-cap IT, sells these 3 PSU stocks the most in April

Beaten-down large-cap IT stocks were among the most bought stocks by value investor Rajeev Thakkar-led PPFAS Mutual Fund in the month of April, while several public sector stocks faced selling as the fund house reduced cash holdings last month.

PPFAS Mutual Fund deployed ₹1,768 crore last month, bringing down its cash allocation to 18.71% of the total assets.

The churn in the portfolio comes as the Indian stock market grapples with high volatility in the backdrop of the US-Iran war that began late February and is in its third month now.

Top stocks PPFAS MF bought in April

According to data from PRIME Database, HCL Technologies, Infosys, and Tata Consultancy Services (TCS) remained the top three stocks in which the fund raised its stake last month, underscoring bottom fishing in the sector. The Nifty IT index remains the worst-performing index in 2026 so far, down over 22%.

Fears of a slowdown in discretionary spending, rising costs due to higher H-1B visa fees, and potential disruption from advancements in artificial intelligence (AI) to the traditional outsourcing model have weighed on large Indian IT services companies.

Yet, PPFAS MF bought HCL Tech shares worth ₹1417 crore, Infosys shares amounting to ₹1181 crore and TCS shares valued at ₹847 crore.

The latest market action aligns with Thakkar’s recent remarks at an industry event, where he said Indian IT companies have repeatedly overcome existential challenges over the past three decades, underscoring the sector’s adaptability and resilience.

“In the late 1990s, people thought these companies were only about Y2K. Then came the dotcom crash. Later during the SaaS wave, people questioned why clients would even need IT services companies. People are now saying this time it is different, that AI is replacing developer work and there may not be enough work to go around,” he said.

However, he argued that productivity gains from AI may ultimately expand demand rather than shrink it. Drawing parallels with industries such as telecom and discount broking, Thakkar referred to the economic principle known as Jevons’ Paradox — where lower costs can lead to higher overall consumption.

“If 10 people can now do the work of 50, costs come down. But lower costs can also increase usage and demand,” he said.

Apart from IT, PPFAS MF significantly bought shares of Indraprastha Gas Limited to the tune of ₹633 crore and ITC worth ₹602 crore.

M&M, HDFC Bank, ICICI Bank and Cipla were among the other top purchases last month.

Top stocks PPFAS MF sold in April

At the same time, PPFAS reduced its stake in three PSU stocks in April. Power Grid, Coal India and SBI were among the top five stocks where the fund house materially reduced its stake last month.

Power Grid saw selling worth ₹91 crore, Coal India worth ₹29 crore and SBI worth ₹10 crore. Meanwhile, Balkrishna Industries was the stock which the fund house sold the most at ₹538 crore. Bajaj Finance (selling of ₹19 crore) also featured on the list.

Disclaimer: This story is for educational purposes only. We advise investors to check with certified experts before making any investment decisions.