Equity MFs see dip in inflows for second month

The net inflows into equity mutual funds have seen a decline in May for the second consecutive month, according to data from the Association of Mutual Funds in India (AMFI).

Equity mutual funds saw net inflows worth Rs 5,256.52 crore in May, around 15% lower than the inflows garnered in April.

The inflows stood at Rs 6,212.96 crore in April. Total assets under management (AUM) for equity mutual funds now stand at Rs 6.5 lakh crore.

However, buoyed by debt and hybrid funds, the overall mutual fund industry witnessed a net inflow of Rs 70,813.4 crore, compared to an inflow of Rs 45,999.5 crore in the previous month. The inflows were especially significant in the Arbitrage Funds, witnessing an inflow of Rs 10,806.16 crore. As of date, debt schemes have AUM worth Rs 11.5 lakh crore, while hybrid schemes have AUM of Rs 2.9 lakh crore.

As of date, the total AUM under the open-ended schemes stands at Rs 22.93 lakh crore while those of the close-ended schemes stand at Rs 1.62 lakh crore.

The overall industry AUM stood at Rs 24.55 lakh crore, up 2.5% on a sequential basis.

On the other hand, the Franklin Templeton fiasco continues to be weighing heavy on the mutual funds’ industry as the Credit Risk Funds saw a net outflow of Rs 5,173 crore.

Separately, the BSE data shows that post-Franklin Templeton fiasco, the mutual funds have seen redemptions worth Rs 19,318.40 crore, while subscriptions worth Rs 22,297.58 crore.