Street signs: Fund houses shun airline stocks, IPO plans on hold, and more

Fund managers shun airline stocks 

Some fund houses have stopped covering Jet Airways and investing in its stock or debt issuances. The ailing airline, which defaulted on its payments, has already got a thumbs down from top mutual fund houses in recent months. Even Interglobe Aviation, the operator of IndiGo, is not a stock that gets fund managers interested. “We do not invest in airline stocks, or subscribe to their debt. While the sector has potential, there has been too many cases of default. Betting on them is rather difficult even in good times when the crude oil prices are falling,”