Equity mutual funds see a 21% rise in inflows to Rs 29,911 crore in November. AUM rises, but SIP inflows soften. Debt funds see outflow.
This rise in inflows comes after three consecutive months of decline, signalling an improvement in investor sentiment.
The positive momentum in equity flows also boosted the broader industry’s asset base with total assets under management (AUM) rising to Rs 80.80 lakh crore, up from Rs 79.87 lakh crore in October.
Retail participation through Systematic Investment Plans (SIPs) showed a slight softening. SIP inflows edged down to Rs 29,445 crore, compared with Rs 29,631 crore in the previous month.
According to the data, net flows in equity mutual funds rose to Rs 29,911 crore in November, up from Rs 24,690 crore in October.
The net inflow in equities stood at Rs 30,421 crore in September and Rs 33,430 crore in August.
Most sub-categories saw positive traction, except for dividend yield and ELSS funds during the month under review. Flexi-cap funds, which remained a preferred choice, recorded the highest inflows at Rs 8,135 crore, though this was a 9 per cent dip from October’s Rs 8,929 crore.
In contrast, debt mutual funds saw an outflow of Rs 25,692 crore in November after witnessing a hefty inflow of Rs 1.6 lakh crore in the preceding month.
Also, gold Exchange-traded Funds (ETFs) witnessed a sharp slowdown, with net inflows falling to Rs 3,742 crore from Rs 7,743 crore in October, pointing to a shift in investor appetite for safe-haven assets.