Equity schemes redemptions slows down in November

Equity mutual funds continued to face the brunt of redemptions in November, though net outflows slowed down to Rs 1304 crore in November from Rs 1725 crore in October. The industry saw a combined outflow of Rs 9370 crore from equity funds since the start of this fiscal year. The industry saw net inflows of Rs 405 crore in equity funds only in May.

Sales in equity schemes stood at Rs 2844 crore in November with gross redemptions at Rs 4148 crore, resulting in a net outflow of Rs 1304 crore. The industry recorded a peak of Rs 3306 crore net outflow from equity schemes in September which was the highest so far this year, followed by Rs 2096 crore in August.

The BSE Sensex gained more than 800 points in the last one month on the back of reforms unleashed by the government of India and robust FII inflows.

A rise in Indian equity indices pushed up the AUM of equity assets 4% from Rs 1.59 lakh crore in October to Rs 1.65 lakh crore in November.

The net inflows in the industry dropped by 73% from Rs 46721 crore in October to Rs 12574 crore in November on account of less inflows in income and liquid funds. The industry's assets inched up 3% from Rs 7.68 lakh crore in October to Rs 7.93 lakh crore in November. Categories like ELSS, equity ETFs and overseas fund of funds saw combined net outflow of Rs 388 crore.

Gold funds continued to gain traction in November with net inflow of Rs 270 crore. 

There were a total of nine fund launches in November. Among them, Goldman Sachs India Equity Fund collected Rs 67 crore. The other eight income funds collected Rs 1488 crore.