The continued MF buying has pushed the equity holding of MFs to over Rs 50 trillion for the first time.
After a stellar 2023, the mutual fund industry sustained its growth momentum in 2024 with an impressive Rs 17 lakh crore surge in assets, driven by buoyant equity markets, robust economic growth, and increasing investor participation. Experts are predicting the positive trend will extend into 2025.
Investors sinking lump sum money in equities seem to have applied the brakes.
And there have been months when flows have exceeded $3 billion.
'The decline was inevitable as one-year returns have been negative.'
Investors were stuck in old schemes though they were suspended because of tax implications.
Since you are betting only on a few stocks, the risks are high.
In September, net equity inflows stood at Rs 6,609 crore, compared to Rs 9,152 crore in the previous month. In the last four months, this is the lowest net inflow tally seen by the equity category.
Three closed-ended equity schemes have been launched in the past month or so and another is set to open soon for subscription.