Equity mutual funds hit five-month high, touch Rs. 20,245 crore
In India, equity mutual funds have seen a significant rise in net inflows, touching a five-month high of Rs. 20,245.26 crore in August 2023. According to data from the Association of Mutual Funds in India (AMFI), this marks a substantial increase compared to the Rs. 7,625.96 crore inflow seen in July this year. Meanwhile, debt mutual funds witnessed outflows amounting to Rs. 25,872 crore during the same period.
ETFs and small cap funds rebounded in August
The AMFI data also revealed that ETFs clocked an inflow of Rs. 1,893 crore last month, reversing the Rs. 353 crore outflow seen in July. Small cap mutual funds had an inflow of Rs. 4,265 crore compared to Rs. 4,171.44 crore in the previous month. The multi-cap category followed with Rs. 3,422 crore inflows. However, large-cap funds experienced the biggest outflow of Rs. 348 crore, followed by the focused funds segment with an outflow of Rs. 471 crore.
Midcap funds and SIP inflows reach new heights
Midcap mutual funds saw an inflow of Rs. 2,512 crore in August, a big increase from Rs. 1,623 crore in the previous month. Systematic investment plan (SIP) inflows clocked an all-time high of Rs. 15,814 crore in August, crossing the previous month's inflow of Rs. 15,243 crore. Despite these positive trends, liquid funds recorded an outflow of Rs. 26,823 crore in August, while the debt category saw Rs. 25,873 crore outflows.
NFOs reflect growing interest in mutual funds
The mutual fund industry's new fund offers (NFOs) amounted to Rs. 7,343 crore in August, recording an increase from the previous month's figure of Rs. 6,723 crore. This growth indicates a continued interest in mutual funds as an investment option for Indian investors. The recent surge in equity mutual funds and SIP inflows highlights the growing confidence in the market, despite the outflows observed in debt and liquid funds.
