Investor appetite for tax-saving equity mutual funds remained strong in February even as demand for schemes that invest in stocks waned following the market tumble. Equity Linked Savings Schemes (ELSS) of mutual funds received net inflows of Rs 888 crore in February, the highest in the current financial year. This is almost double the average monthly inflow of Rs 454 crore in calendar year 2015.
In February, the diversified equity mutual funds category saw net inflows fall to Rs 1,634 crore, the lowest in this financial year. In 2015, the average monthly flows into equity funds were over Rs 7,000 crore.In the two months ending February 29, the Nifty fell 12.25% while the Nifty Midcap 100 lost 14.64%.
