ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • Survey
  • videos
  • photos
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons
  • Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say
  • D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr
  • This Android malware switches off Wi-Fi and drain mobile wallet
  • North Korea says US, South Korea-Japan agreement materialises US plan for 'Asian NATO'
Read in App
Business News » Personal Finance News

Mutual fund assets rise to Rs 25.43 lakh cr in May; FMPs continue to see outflow

Fixed Maturity Plans witnessed outflow for the second straight month in May as investors pulled out Rs 1,797 crore from the schemes, amid many Non-banking finance companies grappling with debt woes. 

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Mutual fund assets rise to Rs 25.43 lakh cr in May; FMPs continue to see outflow
According to him, continued retail investor confidence through SIPs has now set a new normal with monthly flows consistently crossing over Rs 8,000 crore. Pixabay

Fixed Maturity Plans witnessed outflow for the second straight month in May as investors pulled out Rs 1,797 crore from the schemes, amid many Non-banking finance companies grappling with debt woes. However, latest data from industry body Amfi Monday showed that average Assets Under Management (AUM) of mutual funds rose to Rs 25.43 lakh crore in May from Rs 25.27 lakh crore in the previous month on the back of increased inflows into equity-linked schemes.

In May, retail investment through Systematic Investment Plans (SIPs) declined to Rs 8,183 crore from Rs 8,238 crore in April. FMPs, which invest in debt instruments like corporate bonds, recorded an outflow of Rs 1,797 crore last month. In April, the outflow stood at a whopping Rs 17,644 crore. In recent months, the mutual fund industry has been grappling with redemption pressures in the wake of debt crisis at various groups, including IL&FS, Essel and DHFL. 

Data from the Association of Mutual Funds of India (Amfi) showed that overall net outflow in close ended debt oriented schemes stood at Rs 2,001 crore in May. "Investor confidence in FMPs is at an all-time low. The investment has fallen by Rs 2,000 crore in this category. "The recent IL&FS fiasco followed by the DHFL fiasco mostly affected FMPs in the debt fund category leading to many schemes being down by more than 10 per cent - which is extremely poor for a debt fund (considered low risk)," said investment platform Groww.In COO Harsh Jain. 

Equity mutual funds witnessed a rise of 17.33 per cent in inflows to Rs 5,407 crore in May compared to Rs 4,608.74 crore seen in the previous month. Overall net inflows in open ended schemes stood at Rs 70,119 crore. "The retail fund flows would now further strengthen on the back of political stability, promise of further economic reforms and improving macro-economic environment coupled with healthy corporate earnings growth," Amfi CEO N S Venkatesh said.

According to him, continued retail investor confidence through SIPs has now set a new normal with monthly flows consistently crossing over Rs 8,000 crore. On the other hand, credit risk fund recorded an outflow to the tune of Rs 4,155 crore last month, higher than Rs 1,253 crore seen in April.

"While SIP numbers are still strong, there was some profit booking given the markets made new highs. "Now that the election overhang is over, we expect investors should come back to making greater quantum of investments into equities, although higher valuations will continue to remain a hurdle" said Kaustubh Belapurkar, Director-Manager Research at Morningstar.

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
mutual fundsSIP
Written By: PTI
Updated: Mon, Jun 10, 2019
08:49 pm
New Delhi, PTI
RELATED NEWS
AMC Sector: Growth-oriented funds lead the strong inflows, says BK Securities – check key triggers AMC Sector: Growth-oriented funds lead the strong inflows, says BK Securities – check key triggers
Money Guru: An SIP for each goal! Expert decodes how SIPs for specific goals can help you plan better Money Guru: An SIP for each goal! Expert decodes how SIPs for specific goals can help you plan better
Mutual Funds AUM down over 2% in May on the back of debt funds outflow and mark to market fall in equity funds Mutual Funds AUM down over 2% in May on the back of debt funds outflow and mark to market fall in equity funds
Money Guru: Incurring losses in your investments? Expert view on what investors should do now? Money Guru: Incurring losses in your investments? Expert view on what investors should do now?
Debt fund investors must take indexation benefits, no point exiting any position now, says Marzban Irani of LIC Mutual Fund Asset Management Debt fund investors must take indexation benefits, no point exiting any position now, says Marzban Irani of LIC Mutual Fund Asset Management

LATEST NEWS

Three of top 10 BSE-listed companies lose Rs 73,630 cr in market capitalisation; HUL, ICICI Bank among biggest drag

Q1FY23 Preview: Pharmaceutical firms likely to deliver subdued performance in domestic market, says Nirmal Bang -

Tracxn in wait-and-watch mode over timing of proposed public offer amid choppy market

Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons here

Electricity distribution companies' outstanding dues to power producers rise 4% to Rs 1.32 lakh cr in June - know details here

Maruti Suzuki looks to deploy strong hybrid tech across model range

Rakesh Jhunjhunwala Stocks: Agrochemical firm Rallis India shares may surge by 23% despite pressure on margins – Here’s why?

Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say

Commerce Minister looking to release new foreign trade policy before September, says official

D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV