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Indians make record investment in equity mutual funds this May

Submitted by admin on June 13th, 2024

The net inflows in March 2022 reportedly soared to Rs.28,463 crore, setting up a new record. This time, equity mutual funds created a new record high of Rs.34, 697, registering an 83.42% hike in investment, as per a data released by AMFI (Association of Mutual Funds of India).

Investment through systematic investment plans or SIPs increased to Rs 20, 904 crore in May, whereas the same was pegged at Rs 20, 371 crore in April. Monthly investments through SIPs touched the Rs 20, 000 crore level for the first time in April, 2024, as per a report by Moneycontrol.

Net inflows into equity mutual funds surpassed the 30, 000 crore landmark for the first time in May 2024.

Many sectoral and thematic funds fuelled net investments into open-ended equity funds, which can explain such a record surge registering a Rs.19,213.43 crore hike during May. For example, HDFC Manufacturing Fund was launched during the month and it amassed Rs.9,563 crore from investors during the period of its new fund offer, as per the Moneycontrol report.

Moreover, inflows showed strength and stability in smaller-cap funds as both small-cap and mid-cap funds experienced net inflows of Rs.2,724.67 crore and Rs.2,605.70 crore respectively. Investors showed lukewarm attitude towards large-cap funds as the category experienced net investments worth Rs Rs.663.09 crore during the month, as per a report.

Equity mutual fund inflows tanked Rs.18,917.08 crore i.e. 16.42% in April 2024. Indian benchmark indices showed flat trading in May as both the NSE Nifty and the BSE Senses dropped by around 1%.

In the debt instrument or fixed-income category, net inflows tanked 77.73% to Rs.42,294.99 crore during the month.

Overall, open-ended mutual funds witnessed net inflows worth Rs 1.11 lakh crore during May.