look news india
Mumbai: Equity mutual fund inflows fell 14.20 per cent to Rs 35,943.49 crore in November from Rs 41,887 crore in October. Data from the Association of Mutual Funds of India (AMFI) showed overall inflows slowed as investment in large-cap and thematic-sector funds slowed. The overall variation in flows into the fund industry is 75 per cent.
Inflows into open-ended equity funds have been positive for the 45th consecutive month. Last month, monthly investment through Systematic Investment Plan (SIP) was Rs 25,320 crore, which was seen at Rs 25,323 crore in October.
Amfi sources said equity fund inflows witnessed a decline last month due to weak performance of the stock market. In November, Sensex fell 0.27 percent and Nifty fell 0.31 percent.
Total investments in the mutual fund industry stood at Rs 60,295 crore in November, down from Rs 2.40 trillion seen in October. Total investment in the fund industry in November was 75 percent lower than in October.
Consistent net inflows into equity funds indicate positive investor sentiment in equities. However, inflows into large cap funds in the equity fund segment were 26 per cent lower compared to October at Rs 2,547.92 crore. According to Amfi data, inflows into small-cap funds rose 9 per cent to Rs 4,111.89 crore, while inflows into mid-cap funds rose 4.30 per cent to Rs 4,883.40 crore.
The month of November was highly volatile due to uncertainty in global equity markets including India as a result of various macroeconomic factors and elections in the US. Apart from this, the impact of geopolitical tension was also seen. Amid the uncertain environment, investors adopted a wait-and-see policy and avoided injecting large lump sums.
Inflows fell 37.60 per cent to Rs 7,657.75 crore due to lower investment in thematic-sector funds. Investments in hybrid funds investing in equity, debt and commodities fell 76 per cent to Rs 4,123.69 crore.
The total assets under management (AUM) of mutual funds in the country stood at Rs 68.08 lakh crore at the end of November, compared to Rs 67.25 crore in October.