Tata Motors, BPCL have doubled in a year. What do manufacturing stocks have in the making?

Tata Motors, BPCL have doubled in a year. What do manufacturing stocks have in the making?
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Synopsis

Outperforming the peers, top manufacturing-focused funds have returned between 64% and 44% in the last one year. Riding on India Inc’s capital expenditure, these funds are aiming to capture growth over the next 10 years. But a lot will depend on capacity utilisation of industries and how private consumption comes around boosting demand.

Manufacturing-focused funds are in the thick of things of late. As the BSE manufacturing index climbs new highs, fund houses smell opportunities in the sector. Last month, Canara Robeco Mutual Fund launched a scheme to invest in the manufacturing sector. It is not the only one. Some four new manufacturing-focused funds have been launched in the last six months, taking the total to 10 as of February-end. Shridatta Bhandwaldar, head of equities at

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