Of this, the industry lost more than 24 lakh folios mainly from equity and balanced funds in the last eight months, shows the latest SEBI data.
Investors pulled out Rs 10784 crore from equity funds from April to November 2012 to cash in on the rally in Indian equities, resulting in a drop of more than 30 lakh folios, which is the highest fall so far. Equity folios account for 79% of industry’s total 4.40 crore investor folios.
Investors pumped in Rs 25241 crore in equity funds, which is the gross mobilization, and redeemed Rs 36025 crore which resulted in a net outflow of Rs 10784 crore. A 2000 point rise in the BSE Sensex helped equity assets valuation increase to Rs 1.90 lakh crore in November, up 4% from 1.82 lakh crore in March.
“Folio
consolidations have happened and it has already been factored in. Investors are
redeeming whenever the markets go up. The industry has seen huge redemptions in
the last three months,” said a senior official from the industry. Net outflows from equity funds stood at Rs
1304 crore in November, Rs 1725 crore in October and Rs 3306 crore in
September. Since April, the industry has
seen net inflow in only one month, May where Rs 506 crore came in.
Balanced
funds, which invest a portion of assets (maximum of 60%) in equities, also saw
net outflows of Rs 336 crore with more than one lakh folio closures. Fund of
funds which invest overseas also saw net outflows to the tune of Rs 315 crore. These
funds have been seeing continuous outflows since June this year.
|
Category |
Folios as on March 2012 |
Folios as on Nov 2012 |
Change |
Net inflow April-Nov |
|
Debt |
5250084 |
5945480 |
695396 |
171749 |
|
Equity (including ELSS) |
37647466 |
34585874 |
-3061592 |
-10784 |
|
ETF’s |
623757 |
707987 |
84230 |
855 |
|
Balanced |
2718851 |
2617030 |
-101821 |
-338 |
|
Overseas fund of funds |
211906 |
187824 |
-24082 |
-315 |
|
Total |
46452064 |
44044195 |
-2407869 |
161169 |
|
Source: SEBI. (rs in cr) |
||||
ETFs added 84230 folios with net inflows of Rs 855 crore from April to November. A series of gold fund NFOs helped industry add 72793 accounts while equity ETFs added 11437 accounts.
Industry’s assets under management went up to Rs 7.87 lakh crore from Rs 6.60 lakh crore, up 19 % during the same period. Overall, the industry recorded a net inflow of Rs 1.61 lakh crore from April to November, largely on account of inflows in debt funds. As equity markets remained volatile, fund industry has largely been promoting fixed income funds, particularly FMPs and bond funds. Debt funds saw net inflows of Rs 1.71 lakh crore with close to seven lakh accounts being opened in this category. The total count of industry’s folio dropped 5% to 4.40 crore in November from 4.64 crore in March.
