The Indian mutual fund industry AUM is nearly Rs.38 lakh crore as on December 2021.
Despite net outflows of close to Rs.50,000 crore, the industry’s average AUM has increased to 37.92 lakh crore in December 2021.
This was due to massive net inflows in equity funds, hybrid funds and ETFs along with sustained inflows through SIPs.
AMFI data shows equity funds have witnessed highest ever net inflows of Rs.25,000 crore with multicap recording net inflows of Rs.10,500 crore. This was largely due to launch of three multicap funds during December, which collected over Rs.9000 crore during NFOs. Hybrid funds have followed equity funds with healthy net inflows of Rs.5000 crore (other than arbitrage funds).
SIP numbers have grown each month in the past one year of 2021. For the month of Dec 2021, monthly SIP contribution was at Rs.11,305 crore which is up from the November 2021 monthly SIP contribution of Rs.11,004 crore. Number of SIP accounts has also increased to 4.91 crore in December 2021 from 4.78 crore, an addition of over 12.50 lakh new SIPs in just a month.
In his official statement, NS Venkatesh, Chief Executive, AMFI said, “Year 2021 has been a momentous year, with mutual funds emerging as the preferred investment destination with continued record equity flows through NFOs and ongoing investment into existing schemes. The year has seen remarkable growth in mutual funds with hike in inflows across all categories of funds. SIP has been the favourite medium of consistent investing and disciplined mode of savings by the common man. This is evident from the rising number of accounts. Through regular financial literacy retail investors are understanding the nuances of managing market volatility and risk adjustment through SIP. Over all 2021 has ended in rise in disciplined investing through rise in number of SIP investments.”
Key highlights
- Total folio count has gone up to 12 crore in December 2021 from 9.51 crore in January 2021
- No of retail folios now stands at 9.67 crore
- Monthly SIP contribution collection reached all-time high in December 2021 at Rs. 11,305 crore
- SIP AUM accounts for 15% of the total AUM at Rs.5.65 lakh crore
- Retail AUM of the industry has increased to Rs.18.34 lakh crore, which is 50% of the total assets
- Multicap funds have witnessed net-inflows of 10,516 crore
- 20 NFOs were launched in December 2021, which collected Rs. 20,616 crore
- Overnight funds and liquid funds witnessed net inflows of Rs.4800 crore and Rs.8700 crore, respectively despite it being quarter end
- Low duration, banking and PSU funds and floater funds witnessed massive net outflows in December
- All categories of equity funds and hybrid funds witnessed net inflows last month
