India-dedicated funds see inflows of $192 mn in March, AUM up 5.7%

Global emerging market funds saw inflows of $1.52 billion, taking the CY21 inflows of such funds to about $3.62 billion

India-dedicated funds saw inflows to the tune of $192 million in March, paring total outflows in CY21 to $0.5 billion, the EPFR data compiled by Kotak Institutional Equities showed.

Global emerging market (GEM) funds saw inflows of $1.52 billion, taking the CY21 inflows of such funds to about  $3.62 billion. Inflows from India-dedicated, GEM, and other categories of funds in March totalled $2.27 billion in March and $5.51 billion in CY20.

Assets under management (AUM) of India-dedicated funds have risen 5.7 per cent to $41.08 billion from $38.86 billion at the end of CY20. AUM of GEMs have surged 8 per cent to $122.26 billion.

The EPFR fund-flow data primarily tracks mutual funds, ETFs, closed-end funds, variable annuity funds, and insurance-linked funds. It does not include investments from hedge funds, proprietary desks, and sovereign wealth funds, which are tracked by NSDL.

The overall allocation to India by Asia ex-Japan funds have increased to 13.3 per cent March from 11.1 per cent in February, while that by GEM funds increased to 10.6 per cent in March from 10.2 per cent in the same period.

Real estate and Energy witnessed heavy buying in March, with inflows of $497 million and $408 million, respectively.