A sharp reversal in debt-fund flows pushed India's mutual fund industry into net inflows in October, offsetting slower equity-scheme contributions, figures from the Association of Mutual Funds in India (AMFI) show.
AMFI's all-scheme balance was a net inflow of Rs 1,73,828.98 crore, compared with net outflows of Rs 1,33,375.57 crore in September. The change between the two monthly balances was Rs 3,07,204.55 crore. The all-scheme total includes open-ended, closed-ended and interval schemes.
Debt schemes shifted from Rs 1,83,155.76 crore in net outflows in September to Rs 1,13,437.89 crore in net inflows in October. Liquid funds received Rs 70,533.75 crore, and overnight funds took in Rs 54,893.05 crore.
Equity schemes recorded net inflows of Rs 32,993.64 crore, down 13.9% from Rs 38,306.55 crore in September. Large-and-mid-cap funds drew Rs 8,484.23 crore, up from Rs 4,271.22 crore. Small-cap inflows fell to Rs 6,407.50 crore from Rs 9,038.57 crore, while mid-cap inflows declined to Rs 4,892.62 crore from Rs 7,834.84 crore.
Press Trust of India reported that October marked the 60th consecutive month of net inflows for equity schemes. That streak is not listed in AMFI's monthly flow table.
Saugata Chatterjee, president and deputy CEO of Nippon India Mutual Fund, told Moneycontrol that companies' treasury activity near the September half-year close contributed to the debt-flow reversal.
AMFI reported total net assets of Rs 83,38,858.06 crore as of Oct. 31, compared with Rs 82,64,116.63 crore at the end of September, an increase of about 0.9%.
