LIC ditches private banks, chooses SBI and Yes Bank. What’s driving this portfolio shift?

Core Viewpoint - LIC has significantly rebalanced its portfolio by divesting from major private banks such as HDFC Bank and ICICI Bank, and has made aggressive investments in State Bank of India and Yes Bank, indicating a growing confidence in the PSU banking sector's valuation and future prospects [1] Group 1 - LIC's strategic shift reflects a notable change in investment focus towards public sector banks [1] - The move comes despite a trend of foreign investors favoring private lenders, showcasing a divergence in investment strategies [1] - This reallocation of assets may signal a broader trend in the banking sector, where confidence in PSU banks is increasing [1]