Inflows in equity MFs hit 10-month low of Rs 6,120 cr in Aug

Equity mutual funds attracted Rs 6,120 crore in August, the lowest level in 10 months, amid a volatile stock market environment.

This was the 18th straight month of inflows in equity mutual funds but the pace of inflow has been declining over the past few months.

The net inflows in August were lower compared to Rs 8,898 crore in July, Rs 15,495 crore seen in June, Rs 18,529 crore in May and Rs 15,890 crore in April, according to data released by Association of Mutual Funds in India (Amfi) on Friday.

The month of August saw the lowest level of inflow since October 2021, when equity mutual funds attracted Rs 5,215 crore.

Equity schemes have been witnessing net inflow since March 2021.

These schemes had witnessed outflows for eight months from July 2020 to February 2021, losing Rs 46,791 crore.

Markets continue to remain volatile as concerns over an inflationary trend continue to mount.

Apart from equity, debt mutual funds witnessed an inflow of Rs 49,164 crore last month, much higher than Rs 4,930 crore seen in July.

However, hybrid schemes saw a net withdrawal of Rs 6,601 crore and Gold Exchange Traded Funds (ETFs) experienced a net outflow of Rs 38 crore.

Overall, the mutual fund industry registered a net inflow of Rs 65,077 crore in August, compared to Rs 23,605 crore in July.

The inflow pushed the Assets Under Management (AUM) of the industry to Rs 39.34 lakh crore at the end of August, from Rs 37.75 lakh crore at the end of July.