 "Mutual fund investors redeem Rs 10,000 cr from SIP accounts in Nov")
Mutual fund investors redeemed more than Rs 10,000 crore from systematic investment plan (SIP) accounts in November to cash in on the market rally. Redemptions were the highest since at least April 2021, when the industry started disclosing the net SIP inflow data.
"Investors felt that the all-time-high levels in November was a good point to exit with gains. Distributors ideally try to discourage investors from exiting on account of market levels, but not all investors listen," said Sadashiv Phene, a Mumbai-based mutual fund distributor.
Fresh SIP investments remained undisturbed. In November, investors poured in a record sum of Rs 13,300 crore through the systematic route.
As a result, the net SIP inflows came in at a paltry Rs 3,260 crore, the lowest since October 2021, data from the Association of Mutual Funds in India showed.
In November, heightened redemptions brought down net investments in equity funds to Rs 2,260 crore. Net inflows were dragged down by a surge in redemptions. Investors pulled out Rs 26,030 crore from active equity schemes, 60 per cent more than October and the highest since September 2021.
Net inflows in the top two equity schemes—flexicap and largecap—turned negative in November. While investors pulled out Rs 1,040 crore net from largecap schemes, flexicap funds had an outflow of Rs 860 crore.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%