Equity funds see Rs1,256 crore inflows in May   

June 9, 2010

 For the first time in many months, equity mutual funds have recorded net inflows

After months of recording outflows, equity funds recorded net inflows to the tune of Rs1,256 crore in May 2010. In April 2010, equity redemption had reached Rs1,133 crore.

In May 2010, income funds recorded outflows of Rs35,084 crore while balanced funds saw inflows of Rs206 crore. The net redemption under all category of funds stood at Rs62,960 crore.

According to AMFI data, the assets under management (AUM) of equity schemes stood at Rs1.71 lakh crore as on May 2010.

The last time equity funds recorded inflows was in January thanks to a new fund offer (NFO) from Axis Bank. January saw inflows of Rs980 crore into equity schemes.

Equity MFs have been bleeding over the last six months. Equity schemes saw redemptions of Rs1,133 crore in April 2010 compared to Rs196 crore for the corresponding period last year, while AUM of equity schemes were up 63% at Rs1,76,830 crore in April compared to Rs1,08,507 crore in the corresponding period last year.Last month, debt funds or fixed-income schemes recorded inflows to the tune of Rs1,77,773 crore. In March 2010, debt funds saw Rs1,64,487 crore in redemptions.

Equity funds have witnessed continuous redemptions since August 2009 to the tune of Rs7,970 crore except in January and February 2010, which recorded inflows of Rs1,514 crore and Rs980 crore respectively.
— Moneylife Digital Team