Government-run life insurance giant LIC, which also is the largest institutional investor in the country's equity market, today said it is bullish on the pharma, FMCG, banking and IT stocks.
"We are a little bullish on the pharma, FMCG (fast moving consumer goods), banking and IT sectors," LIC Chairman D K Mehrotra told reporters here.
The insurance major has set a target of investing up to Rs 2.07 lakh crore across asset classes during FY'13 and is confident of pumping Rs 45,000 crore of this in stocks.
"Last year, we had gone to the level of Rs 45,000 crore and this year too we should be able to reach the level," he said, replying to a question on equity investments. LIC's total investment in FY'11 stood at about Rs 1.95 lakh crore, he said.
There has been a resurgence in the equity market since the past month and a half, propelled by a slew of reform measures announced by the government and some global factors.
The government has not approached LIC for any investment by the insurance major for the disinvestment programme, Mehrotra said.
Last fiscal, LIC had helped in recapitalisation of a slew of public sector banks, which was of help to the lenders given the weak government finances, and saved the ONGC stake sale by subscribing to almost the entire issue worth around Rs 12,000 crore.
Asked if the LIC will do a similar bailout again this fiscal, Mehrotra said: "We don't bailout to anybody, we take commercial decisions."
He said the corporation is in discussions with the Finance Ministry and regulators to increase the 10 per cent cap on investing in an individual company. "We are in discussions with the Ministry and regulators. Very soon something should come on that."