Due to high uncertainty on interest rate movement, fund managers bought into companies that are attractively valued and hold the promise of high earnings visibility. In March, they took fresh exposures to auto and auto ancillaries — likely beneficiaries of improvement in the demand cycle. They estimate auto companies to show 15% growth in their FY24 earnings buoyed by a measured increase in prices, favourable response to new launches, and stable rural demand. A few prominent companies that found a place in the March portfolios of leading fund houses were Hero MotoCorp, Mahindra CIE and Sona BLW Precision Forgings. Portfolio managers also bought select public sector undertakings (PSUs). Attractive valuations, stable dividend payments, successful fundraising exercises and a steady pipeline of government orders are among the reasons managers added select PSUs, such as Hindustan Aeronautics, BEML, Power Finance Corporation and NMDC.