An advertisement for the “Mutual Funds Sahi Hai” (mutual funds are right) campaign. (Photographer: Dhiraj Singh/Bloomberg)

Equity Mutual Fund Monthly Inflows Fall For Longest Stretch In Two Years

Inflows into equity mutual fund schemes, including equity-linked savings schemes, extended their decline to three months in a row—the longest since April 2016.

Inflow into equity mutual finds declined 2.2 percent to Rs 9,452 crore in July compared with Rs 9,660 crore in June, according to data released by the Association of Mutual Funds in India.

The asset management industry, the AMFI data showed, saw an outflow of Rs 32,628 crore during the month compared with an inflow of Rs 46,475 crore in June. Inflows into balanced funds, too, declined for the third month in a row—the longest streak since April 2016. Inflows into the category on a sequential basis stood at Rs 287 crore, the lowest since March 2016.

According to the AMFI data, at Rs 31,141 crore, liquid funds contributed the most to the fund outflows in July.

The total assets under management of mutual funds in July rose 0.8 percent (month-on-month) to Rs 23.05 lakh crore. Total equity assets grew by 5.6 percent to Rs 7.7 lakh crore during the same period. Balanced fund assets rose 3.4 percent to Rs 1.8 lakh crore in July.