Equity funds witness highest inflows
Total Assets Under Management (AUM) of the mutual fund (MF) industry increased by 0.6% (by Rs 6372 crore) to Rs 10.12 lakh crore in August 2014 after witnessing 3.3% rise (by Rs 31737 crore) to Rs 10.06 lakh crore in July 2014. The AUM of all categories witnessed rise expect for Income, Gilt Funds and Gold ETF categories.
Equity, Balanced, ELSS-Equity and Other ETFs categories witnessed net inflows, while all the other categories witnessed net outflows. Moreover, Income funds saw highest outflows, while equity funds registered inflows for the fifth consecutive month. However, AUM of the industry grew by 32% (or by Rs 2.47 lakh crore) YoY in August.
Net outflow from the industry stood at Rs 13035 crore in August, as against net inflow of Rs 26847 crore in July 2014. The outflows were led by all the major debt funds categories viz. Income funds, Liquid Funds, Gilt Funds.
Funds mobilized from 30 newly launched schemes in August stood at Rs 3057 crore, out of which Rs 1777 crore came from 22 income funds (all close ended) and Rs 1229 crore came from 7 equity schemes and Rs 51 crore from one scheme launched under Fund of Funds Investing Overseas.
Equity & Debt Investments by Mutual Funds
Domestic mutual funds turned out to be net buyers in equity in August 2014. Mutual Funds were net buyers in equities worth Rs 6957.4 crore in August 2014, as against net buying of Rs 5063.8 crore in July 2014. In August mutual funds were net buyers in equity in all the 19 trading sessions. Net buying in equity was recorded lowest at Rs 63.1 crore on 13 August 2014 while net buying recorded high at Rs 1111 crore on 28 August.
Mutual Funds were net buyers to the tune of Rs 71894.9 crore in Augus 2014 In August mutual funds were net buyers in debt in all the 19 trading sessions. Net buying in equity was recorded lowest at Rs 2.5 crore on 18 August 2014 while net buying recorded high at Rs 10234.1 crore on 22 August.
Equity Funds Assets rise
AUM of equity funds increased 6.1% (by Rs 13508 crore) to Rs 2.35 lakh crore in August 2014 over July 2014. The assets of equity-linked saving schemes (ELSS) increased by 5.3% (by Rs 1604 crore) to Rs 31921 crore. Meanwhile, Equity Funds registered a net inflow of Rs 5217 crore for the month and ELSS Funds saw net inflow to a tune of Rs 147 crore. Thus, total equity funds witnessed net inflow of Rs 5364 crore.
Rise in AUM during August was primarily due to inflows in equity funds, which was aided by a strong stock market. Besides, retail participation in equity schemes has increased significantly during the recent months.
Net inflows in equity funds totaled to Rs 26001 crore in FY15 till August 2014. This is higher than net outflows of Rs 3238 crore in the corresponding period of previous year.
The weightage of equity funds increased to 23% of the total assets of the industry in August 2014 as compared to 18% in August 2013 and 22% in July 2014.
Net outflows from ELSS totaled to Rs 777 crore in FY15 till August 2014, which is lower than net outflows of Rs 886 crore in the corresponding period of previous year. The weightage of ELSS category, of the total assets of the industry stood at 3% in August 2014, unchanged from July 2014 and August 2013.
Liquid Funds
AUM of Liquid Funds increased by mere 0.3% (by Rs 815 crore) to Rs 2.445 lakh crore primarily due to net outflows of Rs 5864 crore, after witnessing the highest inflows in four months of FY15 in July 2014. Inflows into the category are cyclical in nature as companies, banks and financial institutions plough the surplus money back into the funds after withdrawing it at the end of the quarter for paying advance tax.
On YoY basis, its assets increased by 63.5%. Liquid and money market schemes have seen net inflows of Rs 97913 crore in FY15 till August 2014, which was higher than net inflows of Rs 48969 crore in the corresponding period of previous year .
The weightage of liquid funds, of the total assets of the industry stood at 24% in August 2014, same as in July 2014, but higher from 20% in August 2013.
Income Funds
AUM of Income Funds decreased by 2.2% (by Rs 10537 crore) to Rs 4.61 lakh crore. Moreover, this category witnessed net outflow of Rs 12696 crore. This was largely due to the poor performance by close-ended income funds, which comprise mostly fixed maturity plans (FMPs). Closed-ended income funds collected only Rs 1,941 crore in August. The category got a set-back on announcement by the government in the Union Budget. The Finance Minister has increased long-term capital gains tax on mutual funds from 10% to 20% (Long-term capital gains tax used to be 10 per cent without indexation or 20% with indexation, whichever was lower) while the holding period has been increased from 12 months to 36 months effective from the date of the presentation of the Budget. Out of the 30 new fund offers from mutual funds during the month, close ended income schemes accounted for 22 new fund launches. Open ended income funds have seen net outflows of Rs 3791 crore, and there was net outflows of Rs 8557 crore in close ended income funds and Rs 348 crore net outflows were recorded in interval income funds.
Net outflows from income funds totaled to Rs 21300 crore in FY15 till August 2014, compared with net inflow of Rs 24646 crore in FY14 till August 2013. The weightage of income funds, of the total assets of the industry stood at 46% in August 2014, which is lower from 47% in July 2014 and 55% in August 2013.
Gold ETF
AUM of Gold ETF decreased by 1.4% (by Rs 112 crore) to Rs 7661 crore in August 2014 after falling by 2.1% in July 2014. On YoY basis, assets of this category decreased by 35.2%. The category witnessed outflows for the seventh consecutive month to a tune of Rs 112 crore, the second lowest since August 2013.
Net outflows from Gold ETF totaled to Rs 931 crore in FY15 till August 2014, nearly same as net outflows of Rs 932 crore in the corresponding period of previous year.
Gilt Funds
AUM of Gilt Funds decreased by 3.5% (by Rs 195 crore) to Rs 5450 crore in August and the category reported net outflow of Rs 209 crore after recording net inflow in the month of July 2014.
Meanwhile, the AUM declined by 38.7% on YoY basis. Net outflows from gilt funds totaled to Rs 1001 crore in FY15 till August 2014, compared with net inflows of Rs 1160 crore in the corresponding period of previous year.
Balanced Funds
Assets of balanced funds increased by 6.6% (by Rs 1076 crore) in August to Rs 17293 crore when compared on sequential basis, and increased by Rs 2686 crore or by 18.4% when compared with the same period of the previous year. Moreover, this category had witnessed net inflow of Rs 448 crore in August.
Net inflows in this category totaled to Rs 790 crore in FY15 till August 2014, which is higher than net outflows of Rs 493 crore in FY14 till August 2013.
Fund of Funds Investing Overseas
The total AUM of Fund of Funds Investing Overseas increased by Rs 46 crore on sequential basis and increased by Rs 811 crore or by 34.2% when compared with same period of the previous year.
Net inflows in this category totaled to Rs 195 crore in FY15 till August 2014, which is higher than net inflows of Rs 134 crore in FY14 till August 2013.
Other ETFs
Other Exchange Traded Funds (ETFs) has witnessed net inflow of Rs 51 crore in August as against net inflow of Rs 211 crore in July 2014. Net outflow from this category totaled to Rs 507 crore in FY15 till August 2014, compared with net outflows of Rs 108 crore in corresponding period of FY14.
The total AUM of Other ETFs increased by Rs 156 crore or by 3.1% to Rs 5239 crore on sequential basis, and increased by Rs 3880 crore when compared with same month of the previous year.
Total Assets Under Management (AUM) of the mutual fund (MF) industry increased by 0.6% (by Rs 6372 crore) to Rs 10.12 lakh crore in August 2014 after witnessing 3.3% rise (by Rs 31737 crore) to Rs 10.06 lakh crore in July 2014. The AUM of all categories witnessed rise expect for Income, Gilt Funds and Gold ETF categories.
Equity, Balanced, ELSS-Equity and Other ETFs categories witnessed net inflows, while all the other categories witnessed net outflows. Moreover, Income funds saw highest outflows, while equity funds registered inflows for the fifth consecutive month. However, AUM of the industry grew by 32% (or by Rs 2.47 lakh crore) YoY in August.
Net outflow from the industry stood at Rs 13035 crore in August, as against net inflow of Rs 26847 crore in July 2014. The outflows were led by all the major debt funds categories viz. Income funds, Liquid Funds, Gilt Funds.
Funds mobilized from 30 newly launched schemes in August stood at Rs 3057 crore, out of which Rs 1777 crore came from 22 income funds (all close ended) and Rs 1229 crore came from 7 equity schemes and Rs 51 crore from one scheme launched under Fund of Funds Investing Overseas.
Equity & Debt Investments by Mutual Funds
Domestic mutual funds turned out to be net buyers in equity in August 2014. Mutual Funds were net buyers in equities worth Rs 6957.4 crore in August 2014, as against net buying of Rs 5063.8 crore in July 2014. In August mutual funds were net buyers in equity in all the 19 trading sessions. Net buying in equity was recorded lowest at Rs 63.1 crore on 13 August 2014 while net buying recorded high at Rs 1111 crore on 28 August.
Mutual Funds were net buyers to the tune of Rs 71894.9 crore in Augus 2014 In August mutual funds were net buyers in debt in all the 19 trading sessions. Net buying in equity was recorded lowest at Rs 2.5 crore on 18 August 2014 while net buying recorded high at Rs 10234.1 crore on 22 August.
Equity Funds Assets rise
AUM of equity funds increased 6.1% (by Rs 13508 crore) to Rs 2.35 lakh crore in August 2014 over July 2014. The assets of equity-linked saving schemes (ELSS) increased by 5.3% (by Rs 1604 crore) to Rs 31921 crore. Meanwhile, Equity Funds registered a net inflow of Rs 5217 crore for the month and ELSS Funds saw net inflow to a tune of Rs 147 crore. Thus, total equity funds witnessed net inflow of Rs 5364 crore.
Rise in AUM during August was primarily due to inflows in equity funds, which was aided by a strong stock market. Besides, retail participation in equity schemes has increased significantly during the recent months.
Net inflows in equity funds totaled to Rs 26001 crore in FY15 till August 2014. This is higher than net outflows of Rs 3238 crore in the corresponding period of previous year.
The weightage of equity funds increased to 23% of the total assets of the industry in August 2014 as compared to 18% in August 2013 and 22% in July 2014.
Net outflows from ELSS totaled to Rs 777 crore in FY15 till August 2014, which is lower than net outflows of Rs 886 crore in the corresponding period of previous year. The weightage of ELSS category, of the total assets of the industry stood at 3% in August 2014, unchanged from July 2014 and August 2013.
Liquid Funds
AUM of Liquid Funds increased by mere 0.3% (by Rs 815 crore) to Rs 2.445 lakh crore primarily due to net outflows of Rs 5864 crore, after witnessing the highest inflows in four months of FY15 in July 2014. Inflows into the category are cyclical in nature as companies, banks and financial institutions plough the surplus money back into the funds after withdrawing it at the end of the quarter for paying advance tax.
On YoY basis, its assets increased by 63.5%. Liquid and money market schemes have seen net inflows of Rs 97913 crore in FY15 till August 2014, which was higher than net inflows of Rs 48969 crore in the corresponding period of previous year .
The weightage of liquid funds, of the total assets of the industry stood at 24% in August 2014, same as in July 2014, but higher from 20% in August 2013.
Income Funds
AUM of Income Funds decreased by 2.2% (by Rs 10537 crore) to Rs 4.61 lakh crore. Moreover, this category witnessed net outflow of Rs 12696 crore. This was largely due to the poor performance by close-ended income funds, which comprise mostly fixed maturity plans (FMPs). Closed-ended income funds collected only Rs 1,941 crore in August. The category got a set-back on announcement by the government in the Union Budget. The Finance Minister has increased long-term capital gains tax on mutual funds from 10% to 20% (Long-term capital gains tax used to be 10 per cent without indexation or 20% with indexation, whichever was lower) while the holding period has been increased from 12 months to 36 months effective from the date of the presentation of the Budget. Out of the 30 new fund offers from mutual funds during the month, close ended income schemes accounted for 22 new fund launches. Open ended income funds have seen net outflows of Rs 3791 crore, and there was net outflows of Rs 8557 crore in close ended income funds and Rs 348 crore net outflows were recorded in interval income funds.
Net outflows from income funds totaled to Rs 21300 crore in FY15 till August 2014, compared with net inflow of Rs 24646 crore in FY14 till August 2013. The weightage of income funds, of the total assets of the industry stood at 46% in August 2014, which is lower from 47% in July 2014 and 55% in August 2013.
Gold ETF
AUM of Gold ETF decreased by 1.4% (by Rs 112 crore) to Rs 7661 crore in August 2014 after falling by 2.1% in July 2014. On YoY basis, assets of this category decreased by 35.2%. The category witnessed outflows for the seventh consecutive month to a tune of Rs 112 crore, the second lowest since August 2013.
Net outflows from Gold ETF totaled to Rs 931 crore in FY15 till August 2014, nearly same as net outflows of Rs 932 crore in the corresponding period of previous year.
Gilt Funds
AUM of Gilt Funds decreased by 3.5% (by Rs 195 crore) to Rs 5450 crore in August and the category reported net outflow of Rs 209 crore after recording net inflow in the month of July 2014.
Meanwhile, the AUM declined by 38.7% on YoY basis. Net outflows from gilt funds totaled to Rs 1001 crore in FY15 till August 2014, compared with net inflows of Rs 1160 crore in the corresponding period of previous year.
Balanced Funds
Assets of balanced funds increased by 6.6% (by Rs 1076 crore) in August to Rs 17293 crore when compared on sequential basis, and increased by Rs 2686 crore or by 18.4% when compared with the same period of the previous year. Moreover, this category had witnessed net inflow of Rs 448 crore in August.
Net inflows in this category totaled to Rs 790 crore in FY15 till August 2014, which is higher than net outflows of Rs 493 crore in FY14 till August 2013.
Fund of Funds Investing Overseas
The total AUM of Fund of Funds Investing Overseas increased by Rs 46 crore on sequential basis and increased by Rs 811 crore or by 34.2% when compared with same period of the previous year.
Net inflows in this category totaled to Rs 195 crore in FY15 till August 2014, which is higher than net inflows of Rs 134 crore in FY14 till August 2013.
Other ETFs
Other Exchange Traded Funds (ETFs) has witnessed net inflow of Rs 51 crore in August as against net inflow of Rs 211 crore in July 2014. Net outflow from this category totaled to Rs 507 crore in FY15 till August 2014, compared with net outflows of Rs 108 crore in corresponding period of FY14.
The total AUM of Other ETFs increased by Rs 156 crore or by 3.1% to Rs 5239 crore on sequential basis, and increased by Rs 3880 crore when compared with same month of the previous year.
| Category | Net Flows (Rs. Cr) | |||
| Aug-14 | Jul-14 | FY2015 | FY 2014 | |
| Income | -12696 | -10080 | -21300 | 24646 |
| Infrastructure Debt Funds | 0 | 0 | 188 | 0 |
| Equity | 5217 | 10815 | 26001 | -3238 |
| Balanced | 448 | 348 | 790 | -493 |
| Liquid / Money Market | -5864 | 25589 | 97913 | 48969 |
| Gilt | -209 | 110 | -1001 | 1160 |
| ELSS - EQUITY | 147 | 30 | -777 | -886 |
| Gold ETF | -112 | -105 | -931 | -932 |
| Other ETFs | 51 | 211 | -507 | -108 |
| Fund of Funds Investing Overseas | -17 | -71 | 195 | 134 |
| Total | -13035 | 26847 | 100181 | 69252 |
| Category | Assets Under Management (AUM) * | % Change | ||
| Aug-14 | Jul-14 | Change | ||
| Income | 461114 | 471651 | -10537 | -2.2 |
| Infrastructure Debt Funds | 1110 | 1099 | 11 | 1.0 |
| Equity | 234821 | 221313 | 13508 | 6.1 |
| Balanced | 17293 | 16217 | 1076 | 6.6 |
| Liquid | 245035 | 244220 | 815 | 0.3 |
| Gilt | 5450 | 5645 | -195 | -3.5 |
| ELSS - Equity | 31921 | 30317 | 1604 | 5.3 |
| Gold ETF | 7661 | 7773 | -112 | -1.4 |
| OTHER ETFs | 5239 | 5083 | 156 | 3.1 |
| Fund Of Funds Investing Overseas | 3180 | 3134 | 46 | 1.5 |
| TOTAL | 1012824 | 1006452 | 6372 | 0.6 |
| *Rs. Crore | ||||
| Category | Assets Under Management (AUM) * | % Change | ||
| Aug-14 | Aug-13 | Change | ||
| Income | 461114 | 420266 | 40848 | 9.7 |
| Infrastructure Debt Funds | 1110 | |||
| Equity | 234821 | 136065 | 98756 | 72.6 |
| Balanced | 17293 | 14607 | 2686 | 18.4 |
| Liquid | 245035 | 149880 | 95155 | 63.5 |
| Gilt | 5450 | 8890 | -3440 | -38.7 |
| ELSS - Equity | 31921 | 20839 | 11082 | 53.2 |
| Gold ETF | 7661 | 11828 | -4167 | -35.2 |
| OTHER ETFs | 5239 | 1359 | 3880 | 285.5 |
| Fund Of Funds Investing Overseas | 3180 | 2369 | 811 | 34.2 |
| TOTAL | 1012824 | 766103 | 246721 | 32.2 |
| *Rs. Crore | ||||
| Transactions by mutual funds in August 2014 | |||||||||||||
| Equity (Rs in crore) | Debt (Rs in crore) | ||||||||||||
| Transaction Date | Gross Purchases | Gross Sales | Net Purchases / Sales | Gross Purchases | Gross Sales | Net Purchases/ Sales | |||||||
| 01-Aug-14 | 1483.6 | 681.7 | 801.9 | 9702.8 | 3898.2 | 5804.6 | |||||||
| 04-Aug-14 | 785.7 | 557.7 | 228 | 7163.2 | 2978.8 | 4184.4 | |||||||
| 05-Aug-14 | 941.9 | 433.3 | 508.6 | 5601.6 | 2989.2 | 2612.4 | |||||||
| 06-Aug-14 | 740 | 611.7 | 128.3 | 7923.9 | 6212.3 | 1711.5 | |||||||
| 07-Aug-14 | 795.2 | 520.3 | 274.9 | 9189.4 | 5402.1 | 3787.3 | |||||||
| 08-Aug-14 | 760.7 | 694 | 66.6 | 9352.4 | 4068.1 | 5284.3 | |||||||
| 11-Aug-14 | 683.1 | 434.5 | 248.6 | 4910.7 | 3988.9 | 921.8 | |||||||
| 12-Aug-14 | 744.5 | 643.2 | 101.2 | 4853.8 | 4079.3 | 774.4 | |||||||
| 13-Aug-14 | 891.1 | 828.1 | 63.1 | 8712.4 | 5290.7 | 3421.8 | |||||||
| 14-Aug-14 | 677.3 | 376.7 | 300.5 | 5998.1 | 3029.9 | 2968.3 | |||||||
| 18-Aug-14 | 645.1 | 351.5 | 293.6 | 8.6 | 6.2 | 2.5 | |||||||
| 19-Aug-14 | 921.1 | 620.5 | 300.6 | 8633.8 | 4217.5 | 4416.3 | |||||||
| 20-Aug-14 | 682.4 | 261.4 | 421 | 4191.1 | 2179.9 | 2011.2 | |||||||
| 21-Aug-14 | 1298.9 | 808.1 | 490.8 | 8159.3 | 3155.8 | 5003.5 | |||||||
| 22-Aug-14 | 939.6 | 653.4 | 286.2 | 13596.4 | 3362.3 | 10234.1 | |||||||
| 25-Aug-14 | 876.5 | 437.8 | 438.7 | 10704.4 | 5753 | 4951.5 | |||||||
| 26-Aug-14 | 857.1 | 662.9 | 194.2 | 6600.4 | 3743.9 | 2856.5 | |||||||
| 27-Aug-14 | 1180.6 | 481.1 | 699.6 | 10812.3 | 5652.2 | 5160.1 | |||||||
| 28-Aug-14 | 1972.1 | 861 | 1111 | 13673.1 | 7884.7 | 5788.4 | |||||||
| Total for August | 17876.5 | 10918.9 | 6957.4 | 149787.7 | 77893 | 71894.9 | |||||||
