MFs lose equity assets for the 5th month in a row

Range-bound markets saw net outflows of Rs 1,984 crore

Indian mutual fund industry has continued to see funds going out from its equity segment for the fifth month in a row in October.

During the month when country's benchmark indices remained in range-bound and lost a little less than one-and-a-half-percentage point, investors chose to continue redeem their investments.

As per the statistics available from the industry lobby Association of Mutual Funds in India (Amfi), October witnessed a net outflow of Rs 1,984 crore from equity schemes, including the equity linked saving schemes (ELSS).

Though the figures are still high, but it was a relief for fund managers as in the previous month, industry had seen a 2-year-high equity outflows of Rs 3,559 crore.

Month	Net outflows (Rs cr)
June	286
July	949
August	2,286
September	3,559
October	1,984
*Includes ELSS
Source: Association of Mutual Funds in India (Amfi)

With the latest higher redemptions, the current financial year so far saw an overall net outflows of Rs 9,258 crore which during the same period last year stood in the positive territory with net inflows of Rs 3,750 crore.

Apart from equity, balanced funds and other than gold exchange traded funds (ETFs) also saw money flowing out in October.

Segments which saw positive traction include income funds, money market schemes, Gilt funds and Gold ETFs among others.

This helped industry to have flows in positive territory on an overall basis at Rs 46,721 crore.