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Business News/ Mutual Funds / Mutual funds: Equity schemes derive 88 per cent of assets from individual investors, shows Jan AMFI data
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Mutual funds: Equity schemes derive 88 per cent of assets from individual investors, shows Jan AMFI data

The AMFI data says individual investors now hold a relatively higher share of industry assets i.e., 60.1 percent in January 2024 as compared to 57.3 percent in Jan 2023

Institutional investors account for 39.9 percent of the assets, of which corporates are 95 percent. The remaining are Indian and foreign institutions and banks. Premium
Institutional investors account for 39.9 percent of the assets, of which corporates are 95 percent. The remaining are Indian and foreign institutions and banks.

While inflows into mutual fund schemes have been rising incessantly month after month, the jump is palpable among retail investors, shows the latest data released by the Association of Mutual Funds in India (AMFI).

The data clearly shows that equity-oriented schemes derive 88 percent of their assets from individual investors (retail + HNIs).

Institutional investors are dominant in liquid and money market schemes (87%), debt-oriented schemes (60%) and ETFs, FOFs (90%).

This is quite similar to the corresponding figures one year ago. In January 2023, equity-oriented schemes derived 89 percent of their assets from individual investors.

Individuals own 60% of assets

The data further says that individual investors now hold a relatively higher share of mutual fund industry assets i.e., 60.1 percent in January 2024 as compared to 57.3 percent in Jan 2023.

At the same time, institutional investors account for 39.9 percent of the assets, of which corporates are 95 percent. The remaining are Indian and foreign institutions and banks.

Share of individual investors in total AUMs of mutual fund sector has risen from 57.3 to 60.1 percent in just one year.
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Share of individual investors in total AUMs of mutual fund sector has risen from 57.3 to 60.1 percent in just one year.

The data also revealed that individual investors prefer to invest more money in equity mutual fund schemes while large institutions opt for liquid, debt schemes and ETFs & fund of funds.

The latest data for the month of Jan 2024 shows that 84 percent individual investor assets are held in equity-oriented schemes. At the same time, 55 percent of institutions assets are held in liquid/ money market schemes and debt-oriented schemes.

Equity schemes

Another interesting insight is that equity funds have become dominant among total mutual fund assets.

The proportionate share of equity-oriented schemes is now 56.9 percent of the industry assets in January 2024, higher from 51 percent in January 2023.

In other words, if total mutual fund assets amount to 100 crore then out of them, 56.9 crore belong to equity schemes.

At the same time, proportionate share of debt-oriented schemes is 17 percent of industry assets in Jan 2024, lower than 19.3 percent a year ago.

Spike in total assets

Additionally, the total assets have jumped significantly from 40.8 trillion in Jan 2023 to 52.89 trillion in Jan 2024, reflecting 29.62 percent increase in assets.

And as one would expect, the value of assets held by individual investors jumped 35.92 percent in the past one year from 23.39 lakh crore to 31.79 lakh crore. On the contrary, the assets held by institutions rose 17.42 percent to 21.20 lakh crore.

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Published: 21 Feb 2024, 05:38 PM IST
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