The Indian equity market crash in October took its toll on net flows of equity funds. In the month, equity funds comprising diversified, tax-saving, and exchange-traded categories of funds had net outflows of Rs 814 crore compared with Rs 815 crore of net inflows in September, as per data on the Association of Mutual Funds in India’s (Amfi) website.
Equity-linked savings schemes was the only section to attract net inflows during October. Three new equity schemes — Bharti AXA Equity Fund, Escorts Power & Energy Fund and IDFC Strategic Sector (50-50) Equity Fund — that completed allotment in October collectively raised a mere Rs 39 crore, showing dismal response to new equity fund offers.
Diversified equity funds recorded net outflows of Rs 706 crore in October compared with Rs 604 crore net inflows in the previous month. Indian equities have been reeling under weak global cues. In October, BSE Sensex and NSE’s 50-share Nifty fell 23.89 per cent and 26.41 per cent, respectively.
