Mutual funds are shifting focus from debt to equity. Industry watchers say fund managers are inclined to pare their exposure to debt, and prefer to raise investment in equity in the next financial year. This will mark the end of their bullishness on debt.
Between April 1, 2001, and March 11, 2002, mutual funds were net sellers in the equity market to the tune of Rs 3,598.55 crore. In contrast, they were net buyers in the debt market to the tune of Rs 10,992.59 crore. However, the figures for March reflect the changing trend. Although funds continued to remain net sellers in the equity market, notching up sales of Rs 274.44 crore up to March 11, 2002, they also turned net sellers in the debt market for the first time since September 2001, with net sales of Rs 41.17 crore.
Fund managers appear to be bullish on the country