Monthly inflows into mutual fund SIPs (systematic investment plans) breached the Rs 25,000 crore mark for the first time in October, data with the Association of Mutual Funds in India (AMFI) showed on Monday.
SIP contributions during the month rose to an all-time high of Rs 25,323 crore against Rs 24,509 crore in the previous month of September.
In the same month (October) a year ago, monthly SIP inflows were at Rs 16,928 crore.
“Strong flows across categories and asset classes are evident, with equity remaining positive across categories, driven by SIPs reaching an all-time high of Rs 25,000 crore,” says Anand Vardarajan, Chief Business Officer, Tata Asset Management.
Equity mutual funds see record inflows of Rs 41,887 crore in October
Equity mutual funds saw record inflows to a tune of Rs 41,887 crore in October, a surge of 21.7% on a month-on-month basis. This growth was fuelled by robust investments in thematic funds. This exemplary performance came despite the heightened volatility in the stock market.
This also marked the 44th consecutive month of net inflows in the equity-oriented funds, highlighting the ever-increasing appeal of mutual funds among investors.
Also read: SBI Mutual Funds: Top 5 equity funds with up to 24% annualised returns in 10 years| Rs 10K SIP turns into Rs 43 lakh
“Indian mutual fund industry is at an all time high AUM of Rs 67.25 lakh crore. The month shows investors have preferred hybrid funds due to the ongoing volatility in the equity markets. We are positive on the Indian economy and India’s equity market will deliver a reasonably good return while comparing with other emerging markets,” says Hitesh Thakkar, Acting CEO, ITI Mutual Fund.
The inflow was despite heightened volatility in stock markets with Foreign Portfolio Investors (FPIs) pulling out Rs 94,000 crore in October amid weak geopolitical sentiments. The correction in the markets however created a good investment opportunity for investors.
Overall, the mutual fund industry witnessed an inflow of Rs 2.4 lakh crore in the month under review, after an outflow of Rs 71,114 crore in September. The huge inflow was due to investments to the tune of Rs 1.57 lakh crore into debt schemes.
The inflow has lifted the industry’s net assets under management to Rs 67.26 lakh crore last month from Rs 67 lakh crore in September.
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