Liquid schemes recorded a net outflow of Rs 15,814 crore and overnight fund saw a net withdrawal of Rs 10,298 crore
The positive inflow pushed the asset base of debt mutual funds to Rs 11.63 trillion at June-end from Rs 11.5 trillion at the end of March, according to data with Association of Mutual Funds on India
The total outflow from mutual funds went up to Rs 2.35 trillion till March 29; bond yield spike led to redemption pressure
A total of Rs 43,825 crore was taken out from liquid funds, which invest in cash assets such as treasury bills, certificates of deposit and commercial paper for shorter horizon.
The AAUM of overnight schemes in April 2019 was Rs 11,566 crore
Inflows into corporate bonds dropped to Rs 5,359 crore from Rs 6,717 crore
Park them in several instruments; have three to six months' expenses kept aside as emergency fund
In a letter, it informed the Association of Mutual Funds in India (Amfi) that it approved of the proposal on graded exit loads made by the industry body
Overnight schemes - those that invest in papers with maturity of as short as a day - are gaining traction as institutional investors are increasingly viewing it as a better alternative
Total flows into MFs up 13% to Rs 9,152 crore; Small-cap funds see 56% surge
Investors should also look at expense ratio, portfolio quality and track record
In June, liquid funds saw a net outflow of Rs 1.5 trillion, which led to the schemes' assets dropping by 27 per cent to Rs 3.9 trillion
The 30-day mark-to-market rule could make them volatile and reduce returns
Instant redemption will increase the attractiveness of liquid funds