With mutual funds crossing Rs 50 lakh crore at the start of the New Year, equity-oriented funds continued their winning streak, experiencing inflows of Rs 21,780 crore in January 2024, almost (30 per cent) higher inflows over December. This marks the 35th consecutive month of net inflow in equity. “The surge in SIP accounts to an unprecedented 7.92 crore in January 2024, coupled with the milestone of 51.84 lakh new SIP registrations, underscores the unwavering commitment of investors towards disciplined wealth creation,” Venkat Chalasani, chief executive, AMFI said. Further, the industry's net AUM soared to Rs 52.74 lakh crore by the end of January from Rs 50.7 lakh crore the previous month.
The participation of retail investors has multiplied over the years, and currently, they own 50 per cent of the total Mutual Fund Industry’s Assets Under Management (AUM). Retail AUM (Equity + Hybrid + Solution Oriented Schemes) stood at Rs. 29,88,347 crore for January 2024, with an average AUM of Rs 29,56,393 crore.
A reversal in the trend of debt funds was seen with liquid funds and short-duration funds performing exceptionally well. When the mutual fund industry saw Rs 75,559 worth of outflow via debt schemes in December, January saw Rs 76,468 returning via debt schemes.
The sectoral or thematic Funds category continues to be the category with the highest inflows at Rs 4,804.6 crores, followed by small cap funds at Rs 3,256.9 crore in January 2024. The multi-cap category attracted the third-highest flows, amounting to Rs 3,038 crore.
"As the market is witnessing a bullish trend, new fund offerings (NFOs) have caught the fancy of investors. On January 20 NFOs hit the street and mopped up Rs.6,817 crore," AMFI data said.