The amount of systematic investment plan (SIP) contributions for the month of September reached an all-time high of Rs 12,976.34 crore. The SIP contributions increased by Rs 282.89 crore over the previous month.
Although retail inflation around the world and in India is on a constant rise, mutual fund portfolios have reached an all-time high of Rs 13.80 crore (Rs 13,80,87,328). In addition, the retail mutual fund portfolios have also reached an all-time high of Rs. 10.99 crore (Rs. 10,99,66,677) in the month of September.
According to the report, the number of SIP accounts stood at 58.37 million (58,377,684) for the month of September 2022, while the number of accounts grew by 1.12 million (1,216,207) in comparison with the previous month.
The increase in the amount of SIP collected in the month of August signals that retail investors are taking a disciplined approach to their mutual fund investment, which is a healthy sign for the Indian market and the economy.
Retail assets under management (AUMs), which includes equity, hybrid and solution-oriented schemes amounted to Rs. 19,76,571.47 crore in September 2022, a fall of Rs 30,011 crore in comparison with the previous month. The average AUM stood at Rs. 20,24,355.56 crore, up by Rs 20,607 crore.
Says N S Venkatesh, chief executive, Amfi: “SIP numbers look healthy with the highest ever contribution at Rs. 12,976.34 crore in a month. We are hopeful that we will touch the Rs. 13,000 crore per month mark in contribution in the coming months.”
Interestingly, the number of portfolios under retail schemes, such as equity, hybrid, solution-oriented schemes stood at Rs. 10,99,66,677. This figure increased by 0.94 per cent over the previous month.
A total number of 17 new schemes were launched in the income/debt, growth/equity, hybrid, and solutions-oriented schemes categories. Four closed-end schemes were launched with a total number of funds mobilised of Rs. 8,374 crore.
The net inflow of gold exchange-traded funds (ETFs) stood at Rs 330.24 crore in the month of September.
Says Kavitha Krishnan, senior analyst – manager research, Morningstar India: “Although gold is considered a hedge against interest rates and a good way of diversifying an investor’s portfolio, the Indian demand for gold also stems from our religious and cultural belief system. Other reasons for the increased demand for gold could likely stem from the depreciating rupee, which provides a temporary impetus for the domestic buying of gold.”
Overnight funds received the highest inflow of capital of Rs 33,128.33 crore.
Three new index funds and five ETFs were launched in the month of September. The sectorial/thematic funds were able to mobilise the maximum amount of funds at Rs 3,823 during the new fund offer (NFO ) window period.
Venkatesh adds: “In the last few months, markets reacted to inflationary factors and events, such as rate hikes. However, small investors have shown consistent faith in mutual fund investments. They see SIP as wealth accumulation and wealth creation over a longer term. Investors must stay focussed on their goals and continue to invest in mutual funds and not lose the opportunity.”
