Equity MF inflows intact despite sharp market fall

The mutual fund industry, comprising 42 players, received higher inflows of Rs 16,268 crore in pure equity funds and lower inflows of Rs 5,026 crore in equity-oriented balanced funds in February, even as stock market indices fell sharply.

Data released by the Association of Mutual Funds in India (Amfi) shows February inflows were higher than the inflows of Rs 15,390 crore in pure equity funds in January. But the inflows to balanced funds were lower than the figure of Rs 7,665 crore in January.

Total mutual fund industry assets fell by around Rs 21,000 crore to Rs 22.20 lakh crore in February compared with a record high Rs 22.41 lakh crore in January on account of mark-to-market losses in equity assets--since the stock values fell sharply in February--as well as outflows from income and gilt funds.

The Sensex fell 4.95 per cent in February, from 35,965.02 points on January 31 to 34,184 points as on February 28.

The mutual fund industry’s equity assets stood at Rs 7,91,494 crore in February against Rs 8,01,405 crore in January.

On the debt mutual fund side, there were outflows of Rs 9,799 crore from income fund and Rs 1,621 crore from gilt funds.

Income funds  witnessed an outflow of Rs 9,800 crore. Gold exchange traded funds (ETF) also saw an outflow of Rs 94 crore.