Here’s how the mutual fund industry performed in March this year.
According to the data released by the Association of Mutual Funds of India (AMFI)The mutual fund industry recorded an overall outflow of ₹29,745.41 crore across all segments, making this as the third straight month to log outflows.
The assets under management (AUM) of the mutual fund industry declined to 31.43 lakh crore in March-end from ₹31.64 lakh crore in February-end.
The growth and equity oriented schemes under the open-ended schemes saw an inflow of ₹9115.12 crore against an outflow of ₹4,534.36 crore. This is the first time equity schemes have logged an inflow after registering outflow for eight straight months.
The inflows to Focused Fund jumped sharply to ₹1026.69 crore in March from ₹156.86 crore in February 2021. Sectoral/Thematic Funds saw a big surge in inflows to ₹2009.35 crore last month against an outflow of ₹365.28 crore in February. ELSS funds recorded an inflow of ₹1552.25 crore last month against an outflow of ₹847.84 crore. Flexi Cap Fund also saw an improvement in inflow by recording an inflow of ₹1386.04 crore against a huge outflow of ₹4,497.23 crore.
On the other hand, Multi Cap Fund saw an outflow of ₹191.81 crore in March against an inflow of ₹4,077.94 crore in February 2021. Meanwhile, the outflows seen by Value Fund/Contra Fund declined to ₹198.92 crore in March as compared to an outflow of ₹1378.51 crore.
The chart below shows the equity flows of the last three months i.e., January (₹-9,253.2 crore), February (₹-4,534.36 crore) and March (9,115.12 crore).
The Income/Debt Oriented Schemes dragged the overall AUM of the mutual fund industry in March by logging an overall outflow of ₹52,528.07 crore against an overall inflow of ₹1,734.63 crore in February 2021.
Out of all the funds under the debt fund category, Liquid Funds recorded the most outflow i.e., ₹19,383.68 crore, which dragged the debt schemes down. Moreover, Low Duration Fund also saw the biggest outflow (₹15,847.34 crore) while huge outflows were also seen by Money Market Fund (₹7,037.73 crore) as well as Banking and PSU Fund (₹6508.32 crore) in March.
On the other hand, the following funds posted a massive turnaround by registering inflows in March against recording outflows in February: Overnight Fund (₹5,027.15 crore), Dynamic Bond Fund (₹1825.65 crore), Corporate Bond Fund (₹2554.06 crore) and Floater Fund (₹3229.17 crore).
Coming to the Hybrid schemes (mix of equity and debt), the scheme saw a jump in inflows to ₹6,210.05 crore in March as compared to February’s inflow figure of ₹4,702.75 crore. The scheme was supported by sharp inflows in Arbitrage Fund (₹3087.94 crore) and Dynamic Asset Allocation/Balanced Advantage Fund (2711.04 crore).
Under Other Schemes, the inflow of Index Funds rose to ₹2,126.38 crore in March. Other ETFs registered an inflow of ₹3,632.16 crore during the month.
The chart depicts the total contribution made by Systematic Investment Plans (SIPs) in the last six months.
In March 2021, the SIP inflows surged to ₹9,182 crore against ₹7,528 crore in February.
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