India equity mutual funds got inflows worth Rs 19,957 crore in October, up from Rs 14,091 crore in September, and the month saw the third highest monthly inflow into equity funds in the year 2023, as per Deepak Jasani, Head of Retail Research, HDFC Securities.
Small- and mid-cap categories contributed about Rs 7,000 crore, shrugging off restrictions on lump-sum investments and new SIPs by several funds. SIP contribution to mutual funds industry in October stood at Rs 16,928 crore compared with Rs 16,420.06 crore in September, he said.
In the month of October, the equity markets continued to experience a risk-off sentiment, with the Index falling below 19,000 levels. Despite this fall, equity mutual funds continued to exhibit resilience, recording a significant net inflow of Rs 19,957 crores v/s 14,091 crores observed in September, said Akhil Chaturvedi, Chief Business Officer, Motilal Oswal AMC.
Major flows were seen in small caps to the tune of 4,495 crores followed by thematic/sectoral funds of 3,895 crores. Hybrid funds continued to experience healthy net inflows on led by arbitrage funds and multi-asset funds. This trend reflects the prevalent risk-off sentiment in the market, with investors seeking to diversify their investments while maintaining a focus on capital protection, he said.
Domestic flows continue to prove structural. Interestingly, SIPs now account for a larger part of inflows (vs one-time investment) and are more structural. This provides the market with a lot of strength, he added.
Indian share market ends in red ahead of key global policy decisions
Ahead of key policy decisions especially from the US Federal Reserve, the Indian stock market closed in red on Tuesday as selling was seen in the PSU bank, auto, IT, financial service, pharma, FMCG, metal, and realty sectors of Nifty.
Buy on dips strategy working well in Indian stock market amid sharp rebound
The surge in the Indian stock market on Friday helped the Indian benchmark indices end the week on a positive note. A strong 2,000-point rebound from the lows suggests that the buy-on-dips strategy is working well in the market, experts said on Saturday.
India’s GDP growth to hold steady in FY25, likely to clock 6.7 pc in FY26
India's economic growth will continue to hold steady in FY25 despite global uncertainties, with a projected GDP at 6.7 per cent in FY26, a report showed on Friday.
Sensex closes at 82,133 after 2,000 pts rally from day low
According to the experts, "Currently, the market is anticipating a revival in consumer spending, driven by the festive season and year-end holidays, adding to the sentiments. Additionally, an expectation of an increase in the US spending is propelling the IT sector."