Inflows in equity funds excluding NFOs remained low for the second consecutive month in September at Rs. 2,100 crore. In August, the inflows in existing schemes was Rs.1,800 crore, shows an analysis of AMFI data.
The numbers are much lower when compared with the inflow data of the first four months of FY 2022. Except for May, inflows in existing equity schemes used to be in the range of Rs 6,000 crore to Rs 9,000 crore before August. The highest non-NFO inflow was seen in July at Rs 8,875 crore. It was the same month when NFOs collected a record Rs 13,700 crore.
Redemptions on the rise
Data shows that redemptions from equity funds is rising for the last two months. In August, investors redeemed Rs 25,000 crore while in September they took out Rs 28,000 crore. The gross inflow in August and September was Rs 33,700 crore and Rs 36,700 crore, respectively.
However, the redemption ratio (the ratio of redemptions as percentage of gross inflows) showed no particular trend. It has been fluctuating between 50% and 80% this financial year.
