Equity funds inflow slowed down in January 2022
Equity funds witnessed a fall in inflow in January 2022, as they stood at Rs 14,887.77 crore, compared to Rs 25,082.54 crore seen in December 2021, mainly due to fewer new fund offers (NFO).
Systematic investment plan (SIP) accounts, on the other hand, scored a record 5 crore during the month.
The assets under management (AUM) for equity schemes stood at Rs 13,56,106.47 crore in January. Except for value and contra funds, all categories of equity funds showed positive investment flows, according data released by the Association of Mutual Funds in India (AMFI).
SIP accounts crossed five crore after 26 lakh fresh accounts were added during January 2022.
With 26 lakh fresh accounts being added, the number of SIP accounts crossed 5 crore, for the first time in history. The growth is noticeable and evident, given that the total SIP accounts for December 2021 were around 4.98 crore.
Debt funds in January witnessed an inflow of Rs 5,081.61 crore, a huge rise from the net outflow of Rs 49,037.52 crore it had recorded a month earlier in December 2021. Out of all the major debt funds, liquid funds saw an outflow of Rs 14,396.91 crore.
Even banking and public sector undertaking debt funds saw an outflow of Rs 2,537.22 crore. Inflows for Exchange Traded Funds (ETFs) stood at Rs 8,860.97 crore for the past month. As for Index funds, they saw an inflow of Rs 4,914.43 crore.
AMFI chief executive NS Venkatesh said that January was a reasonably good month since compared to global equity markets, the Indian equity markets have not corrected as much, which means a positive outlook and inflows for the upcoming months.
This can also be attributed to the growing participation of retail investors in the market who believe in the Indian growth story, he added.