M Investors withdraw Rs.12.12 lakh crore from funds in March: Sept The most negative flows after 2018 are recorded
(Commerce Rep) Mumbai, Apr 10 Apr 2020, Friday
Investors withdrew a huge investment of Rs 1.8 lakh crore in mutual funds on March 5. Which is the largest fall-out since September 9. Of course, mutual funds' equity schemes continued to flow positively, despite the month of Corona epidemic hitting the stock markets on March 9, this month, net positive investment inflows of Rs.
According to the Association of Mutual Funds in India (Amphi) data, the mutual fund industry has reported a huge outflow of investment of Rs 1.8 lakh crore as a result of open ended debt-oriented schemes in March. In March, open-ended debt-oriented schemes had the highest net outflow of Rs 1.8 lakh crore in liquid funds. Since then, there has been a net outflow of Rs 5.6 crore in ultra-short diversion funds and Rs 5.7 crore in money market funds.
After the IL&FS crisis in the mutual fund industry in September 1, the net outflow of Rs 1.5 lakh crore was recorded. Market participants say that usually at the end of each quarter, banks and companies are redeeming their debt schemes as they redeem their investments to pay the quarterly advance tax. However this time the investment outflows have seen a lot more than the past few quarters due to concerns about the Corona epidemic. This time, many institutional investors have redeemed money from liquid funds and money market funds to cover their short-term salaries and wages due to lockdown.
On the one hand, a large investment has been withdrawn from debt funds, while on the other hand, it is surprising that in the current financial year, on March 1, equity funds had the highest net investment of Rs. This month, the net investment of Rs 1 crore through Systematic Investment Plans (SIPs) has been recorded.
All categories of equity oriented schemes have reported net investment inflows. While dividend yield funds have outperformed Rs. 5 crore. Multi-cap and large-cap funds reported positive investment inflows of Rs 1 crore each in March. Due to the arbitrage funds, the hybrid scheme category has reported an investment of Rs.
Net assets under the administration of the mutual fund industry fell to Rs 1.8 lakh crore in March 1, compared to Rs 1.8 lakh crore in March last year.
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