Net inflows into equity-linked mutual fund schemes rose 32% month-on-month (MoM) in February to Rs 19,705 crore despite the volatility in the markets amid the ongoing geopolitical crisis. The sum also marked the 12th straight month of net inflows into such schemes. According to the data released by the Association of Mutual Funds in India (Amfi), all 11 categories of equity-oriented schemes witnessed positive flows during the month. Flexicap funds saw net inflows of Rs 3,873.56 crore, the highest among the categories.
gIt is a positive sign that equity mutual funds saw net inflows despite what happened in the markets in February. If the war situation ends early, the markets will rebound as our economic conditions are fine and we have huge forex reserves,” NS Venkatesh, chief executive of Amfi, told reporters on Wednesday.
During the month, 19 new fund offers raised Rs 3,513 crore across three categories – income/debt-oriented schemes, index and exchange-traded funds.
Monthly SIPs (systematic investment plans) witnessed a marginal dip of Rs 78 crore MoM to Rs 11,438 crore from Rs 11,516.62 crore in January. The total number of SIP accounts grew from 5.04 crore to 5.17 crore.
Inflows into debt schemes remained broadly negative amid uncertainty in interest rate movements. Overall outflows from debt-linked schemes stood at Rs 8,274.29 crore in the month under review after inflows of Rs 5,087.61 crore in January. On the other hand, gold ETFs saw outflows of Rs 248.06 crore, mainly due to profit booking after a sharp uptick in gold prices.
The average assets under management of the mutual fund industry stood at Rs 38.56 lakh crore in February, compared with Rs 38.88 lakh crore in January. Overall inflows into the mutual fund industry stood at Rs 31,533 crore in February.
