1 min read.Updated: 13 Aug 2021, 11:38 AM ISTLivemint
Equity funds Inflows continued in July, making it the fifth consecutive monthly infusion, amid rally in stock markets and high contribution from NFOs
Equity mutual funds inflows in July surged to a record high with the equity schemes receiving a net ₹22,583 crore during the month, a significant jump from ₹5,988 crore in June, as stock markets reached to higher levels and new fund offers (NFOs) launched by MF houses contributing to the inflows.
Inflows into equity funds continued with July seeing inflows at ₹8,900 crore (ex-NFOs) compared to inflow of ₹5,800 crore in June. NFOs during July collected ₹13,700 crore. Systematic Investment Plans (SIPs), popular among retail investors for allowing investment of a fixed amount regularly in schemes, flows continued to rise and also came in at a record high at ₹9,609 crore compared to ₹9,155 crore in June 2021, data released by the Association of Mutual Funds in India (Amfi) showed.
A report by ICICI Direct sharing the mutual fund activity showed top 10 buy/sell in largecap, midcap and smallcaps across AMCs (asset management companies) that mutual funds bought/sold during July 2021.
The top stock buys by mutual funds includes companies like NMDC, Yes Bank, Britannia Industries, Adani Enterprises, JSW Steel, Aditya Birla Fashion and Retail, Indraprastha Gas, GMR Infrastructure, Tata Chemicals, Nazara Technologies, Jindal Stainless, Arvind Ltd, DFM Foods, Apollo Tyres.
India's stock markets scaled record highs last week as a slew of companies reported strong earnings and certain economic indicators led to expectation of a demand recovery. The exuberance also led to a number of new fund launches that in turn have driven flows into equity funds.
The inflow pushed assets under management (AUM) of the mutual fund industry to an all-time high of ₹35.32 lakh crore in July-end from ₹33.67 lakh crore in June-end. Barring, equity linked saving schemes (ELSS) and value fund, which saw withdrawal to the tune of ₹512 crore and ₹462 crore, respectively, all the equity schemes witnessed inflow last month.