Motilal Oswal's Signature Portfolio Adds Three Stocks for Growth Potential

Motilal Oswal's Signature Model Portfolio has added HDFC Bank, Paytm, and Vishal Mega Mart for August 2025, while exiting Punjab National Bank, CAMS, and Trent. The portfolio holds 20 high-conviction stocks with each receiving a 5% allocation. Since inception in March 2025, the MOSt Signature portfolio has outperformed the Nifty 200 index with a 5-month absolute return of 17.1%.

Motilal Oswal's Signature Model Portfolio has made significant changes for August 2025, adding HDFC Bank, Paytm, and Vishal Mega Mart while exiting Punjab National Bank, CAMS, and Trent. The portfolio, which holds 20 high-conviction stocks, allocates 50-80% to large-cap stocks for stability and 20-50% to mid- and small-cap stocks for higher growth potential. Since its inception in March 2025, the MOSt Signature portfolio has outperformed the Nifty 200 index, delivering a 5-month absolute return of 17.1%.

The addition of HDFC Bank signals confidence in the bank's post-merger consolidation, with robust loan growth expected from FY26 onward. Paytm's entry is driven by its steady pivot to financial services and profitability in Q1FY26, while Vishal Mega Mart was included for its asset-light expansion and strong focus on Tier 2 & 3 cities. Meanwhile, PNB was exited due to modest loan and deposit growth, CAMS due to weak revenue visibility, and Trent due to continued growth deceleration.

The portfolio's sector and market capitalisation allocation remains diversified, with Banking and Finance, and Industrial sectors carrying the highest weightage. Healthcare and consumption sectors also have significant allocations, while IT, Automobile, Telecom, Realty, Digital, and Chemicals sectors have a weightage of 5% each.

The MOSt Signature portfolio undergoes monthly rebalancing to adapt to new opportunities, earnings trends, and macroeconomic shifts, with the Nifty 200 Index serving as its benchmark. The portfolio's performance highlights include top gainers such as JK Cement (up 51%), Eternal (up 46%), and Kaynes Technology (up 45%).

References:
[1] https://www.financialexpress.com/market/3-brand-new-entries-in-motilal-oswals-signature-model-portfolio-game-changing-moves-unveiled-3938839/
[2] https://www.moneycontrol.com/news/business/markets/motilal-oswal-rejigs-model-portfolio-adds-hdfc-bank-paytm-vishal-mega-mart-exits-pnb-cams-trent-13397239.html