Equity mutual fund inflow doubles to near ₹14,100 cr in Sept. Will the trend continue?
  • 12 October, 2022

Pooja Sitaram Jaiswar

  • According to AMFI data, in September, equity-oriented schemes witnessed an inflow of ₹14,099.73 crore compared to ₹6,119.58 crore in August month.

Equity mutual funds emerged among top picks in September with an inflow of more than ₹14,000 crore which is over 2.3 times higher than the previous month. While investors' appetite for equities accelerated in September, on the other hand, debt MFs who were star performers in August -- were worst hit with an outflow of over ₹65,300 crore. Gold and other ETFs picked up momentum as well. Overall, net asset under management (AUM) stands over ₹38.42 lakh crore as of September 30, 2022.

According to AMFI data, in September, equity-oriented schemes witnessed an inflow of ₹14,099.73 crore compared to ₹6,119.58 crore in August month.

Under equity schemes, midcap funds witnessed a huge inflow of ₹2,151.15 crore, while small-cap funds too saw strong buying to the tune of ₹1,825.48 crore. Further, a combination of large & midcap funds also had an inflow of ₹1,468.82 crore, and the Flexi cap fund garnered an inflow of ₹2,401.20 crore in September. It was sectoral/thematic funds that outperformed with an inflow of ₹4,418.61 crore in September compared to an outflow of ₹1,266.67 crore in August.

Akhil Chaturvedi, Chief Business Officer, Motilal Oswal AMC said, "Healthy growth in net equity inflows after two months of below average trend augurs well for the markets. Indian investors have reposed faith in the domestic economy and markets despite market volatility and negative trends globally."

Gopal Kavalireddi, Head of Research at FYERS also highlights the positive note for September to be the resumption of healthy inflows into equity mutual funds.

"In spite of the severe volatility in stock markets, investors opted for equity funds across the board – large cap, mid cap, small cap and sector funds, reposing faith in the strength of the Indian economy. Sector/Thematic funds saw the best inflows of ₹4418 crore, trailed by flexicap funds at ₹2401 crore and midcap funds at ₹2151 crore. 21 mutual fund schemes were launched in September garnering close to ₹3900 crore of inflows," FYERS Head of Research added.