Investors May Shift To Low-Risk Products, Axis Mutual Funds’ Sivakumar Says
Investors may shift from higher-risk to lower-risk products to shield themselves from the market rout, according to R Sivakumar, head of fixed income at Axis Mutual Funds.
Indian equities—Asia’s top performers until recently—lost most of their yearly gains amid a flurry of bad news, from surging oil prices and a slumping rupee to a rout in non-bank lenders following defaults at IL&FS.
Investors pulled out over Rs 2 lakh crore from the liquid/money market category last month, according to data released by Association of Mutual Funds of India. It was the highest outflow from money market schemes in over a decade. This contributed to a total outflow of Rs 2.3 lakh crore from all schemes combined, compared with Rs 1.74 lakh crore inflow during August.