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Equity Mutual Fund Inflows Slide to 13-Month Low as SIP Contributions Peak

Investors cited profit booking on stretched valuations triggered by geopolitical uncertainty for pulling back from equity funds.

Overview

  • Equity mutual funds recorded net inflows of Rs 19,013 crore in May, down 22% from April and marking the fifth straight monthly decline to a 13-month low.
  • The industry’s total assets under management climbed to a record Rs 72.2 lakh crore, lifted by market gains and fresh investments.
  • Monthly SIP contributions jumped to an all-time high of Rs 26,688 crore, with 85.6 million active accounts reinforcing steady retail participation.
  • Debt schemes experienced outflows of Rs 15,908 crore in May, led by withdrawals from liquid and overnight funds as investors repositioned.
  • Corporate bond funds attracted Rs 11,983 crore of inflows, the highest in 26 months, as investors sought income ahead of anticipated policy decisions.