After a gap of some nine months, the month of March has seen net inflows into equity mutual funds. This is being sensed even as the official release on it will take a week's time. As per the AMFI data, several equity oriented scheme on a month on month basis have seen a net inflow. Notably this has been the case even as the markets ended the last month on a steady note.
Besides after a gap of nine straight months, mutual funds have turned buyer in the cash market and were net buyers in the previous month of close to Rs. 2500 crore. Also equity fund managers amid consistent outflows have offloaded positions in domestic stocks amounting to Rs. 1.24 trillion.
Experts from the industry also iterated that several investors waiting on the sidelines took to investing as the equity markets climbed off 7% from their highs. Also the scale up in the equity inflow could propel AMCs to invest in the markets and this could come as a help at a time when foreign fund flows have tapered on account of rising bond yield.
And among the equity schemes that have seen an increase in inflow are large-cap category, small cap as well as mid-cap funds.