From April to October, the industry has seen redemptions to the tune of Rs 8065 crore
Of the six months this financial year, the mutual fund industry has witnessed net outflows in equity funds in five months with May being the only to record a net inflow of Rs 506 crore when the Sensex fell 1083 points from 17302 to 16219. The year started with equity funds recording net outflow of Rs 455 crore in April and redemptions escalated in the subsequent months, reaching a peak of Rs 3306 crore in September. Overall, equity funds have seen Rs 8065 crore net outflows this financial year.
The industry collected Rs 2933 in equity funds while the redemptions stood at Rs 4658 crore resulting in a net outflow of Rs 1725 crore in October. The BSE Sensex touched a high of 19137 in October and the index has risen 1442 points since March till November.
The industry’s assets under management continued to rise on account of inflows in liquid and income funds, from Rs 6.80 lakh crore in March to Rs 7.68 lakh crore in November, an increase of 13%.
Gold ETFs continued to attract investors in October, recording a net inflow of Rs 387 crore. Liquid and income funds mopped up Rs 18176 crore and Rs 29340 crore respectively.
