Investors pulled out nearly Rs 60,000 crore (Rs 600 billion) from various mutual fund schemes in June after putting in a staggering Rs 1.5 lakh crore (Rs 1.5 tillion) in the preceding two months.
As per the latest data available with the Securities and Exchange Board of India, there was a net outflow of Rs 59,726 crore (RS 597.26 billion) in June as against a net inflow of Rs 1,46,094 crore (RS 1,460.94 billion) in the previous two months.
In May, investors had pumped in Rs 33,661 crore (Rs 336.61 billion) in various mutual fund schemes, while in April they had put in Rs 1.12 lakh crore (Rs 1.12 trillion) in several such products.
At gross level, MFs mobilised Rs 8.92 lakh crore (Rs 8.92 trillion) in June, while there were redemptions worth Rs 9.51 lakh crore (Rs 9.51 trillion) as well.
This resulted in a net outflow of Rs 59,726 crore (Rs 597.26 billion).
This significant level of funds withdrawal has also led to the decline in the total assets under management of MFs that fell to Rs 9.75 lakh crore (Rs 9.75 trillion) as on June 30, from a record Rs 10.11 lakh crore (Rs 10.11 trillion) in the previous month.
MF is an investment vehicle that pools funds from many investors for investing in securities such as stocks, bonds, money market instruments and similar assets.
The strong outflow in MF schemes coincided with a gain in BSE's benchmark Sensex by 5 per cent last month.
Overall, during the current financial year so far, MF on a net basis have mobilised Rs 86,369 crore (Rs 863.69 billion) as compared to Rs 53,783 crore (Rs 537.83 billion) garnered in the entire 2013-14 fiscal.