Investors Poured Rs 11,485 crore In Equity Mutual Funds In March

In March, investment worth Rs 1.95 lakh crore was pulled out of mutual funds focused on fixed-income securities, mainly from liquid funds, after having seen an outflow of Rs 28,000 crore in the preceding month, according to data from Association of Mutual Funds in India (AMFI).

In January, the segment had witnessed a fund infusion of Rs 1.09 lakh crore.

On the other hand, investors pumped Rs 11,485 crore in equity mutual funds, making it the highest level in one year. These inflows come as broader market witnesses heavy volatility on concerns over the impact of COVID-19 on the economy.

Overall, the mutual fund industry witnessed a net outflow of Rs 2.13 lakh crore across all segments after an outflow of Rs 1,985 crore in February.

Most individual categories that invest in fixed-income securities or debt funds saw outflows, however, overnight category managed to see positive inflow.

AMFI Chief Executive N S Venkatesh said that the decline from debt side is a quarter-end phenomena with banks maintaining capital adequacy norms and corporates fulfilling advance tax obligation, and that these funds would return in April.