Capitalmind
Capitalmind
Actionable insights on equities, fixed-income, macros and personal finance Start 14-Days Free Trial
Actionable investing insights Get Free Trial
Stocks

Equity Mutual Fund Inflows Till November At Highest In Over 8 Years

This year seems to have really kicked off for Mutual Funds. Especially Equity Mutual Funds, which have recorded a Rs. 86,816 cr. worth of inflows for the current Financial Year till November end. This includes inflows into already existing Mutual Funds, as well as new entrants.

All the data used here was taken from AMFI’s website.

In the 8 months of FY15 till the end of November, the amount of inflows into Equity Mutual Funds are at an all-time high. For the same period in previous years, the inflows pale in comparison to this year’s collection. In fact, till now, Inflows (Gross) have been greater than the last five full years!

Mutual Funds November 14

Before this year, FY 2008 was the best year for Equity Mutual Funds, with a near Rs. 1.2 lakh crores in inflows for the whole year. On a comparison, even for that year, until November the inflows were Rs. 68,752 cr. Since FY 2008 onwards, inflows were on the down. 

Lowest Inflows Since May, Though 

However, for the month of November this year, Net Inflows into Equity MFs (gross inflows less redemptions) was lower than in September and October.

Mutual Funds November 14_Net Inflows

In fact, Net Inflows into Equity MFs had touched a near 7-year high in July this year with Rs. 10,815 cr. The last time it scaled such heights was in January 2008, where Net Inflows was Rs, 12,717 cr. As we can see, Net Inflows have been consistently positive the whole of FY15, but it has been reducing over the last few months.

Assets Under Management (AUM)

Mutual Funds November 14_AUM

Assets Under Management for Equity Mutual Funds at the end of November, are at Rs. 2.79 lakh crores, which again is the highest at the same point in the year, in over 8 years.

It definitely does look like investors are pumping more money into Equity MFs this year. With AUMs touching new highs, and a positive trend in Net Inflows this year, it could mark the return of retail investors into the market.

divider

Subscribe to Capital Mind:

To subscribe to new posts by email, once a day, delivered to your Inbox:

[wysija_form id=”1″]

 

Also, do check out Capital Mind Premium, where we provide high
quality analysis on macro, fixed income and stocks. Also see our
portfolio which has given stellar returns in our year, trade by trade
as we progress. Take a 30-day trial:

[wysija_form id=”2″]

  • esotericBlue says:

    or, could it mark/signal a top?

  • Ranga says:

    I have the same feeling as esotericBlue ‘s comment above.
    Equity Mutual fund is predominantly retail investors’ turf. And retail investors in equity are known to be too late to the market (both directions: buy & sell) .
    Perhaps will hit a top few months ?
    of course, correlation is not causation .