AUM of top 10 liquid funds up 51%

The assets under management (AUM) of the top 10 liquid schemes in May surged 51.3 per cent, from a month ago, to over Rs 70,000 crore, driven by good liquidity in the banking system, according to data available with NewsWire18.

The inter-bank call money rate had dropped to a decade's low of 0.80-0.90 per cent on May 31. This has lured corporates to these schemes ahead of the advance tax outflow slated for Friday.

Liquid funds give annual average returns of around 7.5-8.0 per cent.

ICICI Prudential Liquid Plan that continued to top the chart last month, had AUM in May of Rs 19,600 crore, up 54.7 per cent from a month ago.

Reliance Liquidity Fund maintained its second slot. However, Principal Cash Manager Fund's assets surged the highest, 96 per cent, to jump three places to occupy the fifth rank.

Kotak Mahindra Mutual's liquid fund displaced LIC's to achieve the third slot.

HDFC Liquid Fund, the new entrant in the list, inched up to occupy the eighth place with an asset rise of 74 per cent.

Tata Liquid Fund, with assets under management worth Rs 3,800 crores, climbed one position to the ninth.

Templeton India Treasury Management Account Fund fell to the last slot from the seventh it held in April. The fund's assets grew 10 per cent to Rs 3,700 crore.