Net inflows into the mutual funds sector have outdone outflows by Rs 2,273 crore in April 2000, despite high volatility in the capital markets during recent months.
Total redemptions from the sector during April stood at Rs 4,389 crore against an inflow of Rs 6,662 crore.
Contrary to the expectation that the volatility would drive panic redemptions in mutual fund schemes, sales or inflows in April have actually proved otherwise across all schemes with the exception of growth and money market funds.
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In the income category, the total inflow has been Rs 1,829 crore compared with redemptions of Rs 809 crore, a difference of Rs 1,020 crore.
Inflows take into account 44 open-ended schemes amounting to Rs 1,829 crore, 29 close-ended schemes and 41 assured return schemes, according to figures provided by the Association of Mutual Funds in India (Amfi).
Up to Rs 60-crore inflows into the income schemes category has come from new open-ended schemes launched during the month of April, while Rs 1,769 crore has come from existing schemes.
In growth schemes, however, total redemptions have outdone inflows by a marginal Rs 2 crore at Rs 1,552 crore. The total outflow stood at Rs 1,550 crore. Out of a total of 69 open-ended schemes, redemptions were Rs 1,523 crore against sales of Rs 1,477 crore.
The balanced fund category has seen a similar trend to income funds. Net outflows stood at Rs 479 crore against inflows of Rs 902 crore, a difference of Rs 423 crore.
The open-ended schemes did sales of Rs 902 crore against redemptions of Rs 42 crore.
Redemptions on money market funds have outdone sales by Rs 85 crore, with inflows at Rs 84 crore as opposed to outflows of Rs 169 crore. Inflows into this category have come entirely from the existing three open-ended schemes, as indicated by the Amfi figures.
According to analysts, investors have chosen to stay with mutual funds for the longer haul, which probably explains why inflows in general have outdone outflows. "Redemptions have not been as hasty as would have been anticipated in this kind of a market. Mutual funds have been able to hold their own against the downslide," analysts said.
Assets under management in income funds at the end of April stood at Rs 47,860 crore while under growth funds was almost half at Rs 25,549 crore.
For balanced funds, the total assets under management stood at Rs 24,042 crore while liquid funds assets under management was Rs 2,107 crore. The money market funds totalled assets under management at Rs 723 crore. Gilt funds stood at Rs 2,605 crore.