The recession of the stock market not only shaken the common investors in the month of July, but has also suffered heavy damage to the Life Insurance Corporation of India (LIC). A loss of up to about ₹ 46,000 crore has been recorded in LIC’s equity portfolio- a warning that questions large institutional investment strategies.
Its impact on market moves and LIC -30 June 2025: 322 shares of LIC were ₹ 16.10 trillion (₹ 16.10 lakh crore). –25 July 2025: The price of multi-risk-enacted portfolio fell to ₹ 15.64 trillion, causing a loss of ₹ 46,000 crore. Despite this, LIC’s property is still more ₹ 1.94 trillion more than April 7, 2025-which shows that the market performed well at the beginning of the year.
Which shares became heavy burden? Among the biggest investments of LIC, Reliance Industries put the most pressure. In addition, companies of TCS, Infosys, HCL, Tech Mahindra together caused a loss of about ₹ 15,321 crore. The overall disadvantage of these four IT companies became a major reason for the heavy fall in LIC’s portfolio.
LIC did the portfolio rebalansing June quarter LIC has reduced the stake in 81 companies under the draft strategy, while 4 has increased investment in public sector defense companies. This change clearly indicates that LIC is taking advanced steps for risk-balance in more stable and strategic areas. Para Description Portfolio Price ₹ 16.10 trillion (30 June) → ₹ 15.64 trillion (25 July) Estimated loss ₹ 46,000 crore major investment Reliance Industries, TCS, Infosys, HCL Tech, Tech Mahindra Strategic Change increased stretch in defense sector; Withdrawal from 81 companies
Experts’ opinion shows LIC’s portfolio India’s economic direction and market status. The market uncertainty and the withdrawal of external investors have weakened public institutions. Analysts believe that the strategic rebellion of LIC may improve it as soon as the market returns to the market.