Equity schemes see cuts in H1CY20 as investors book losses, exit portfolios

MF experts say that market volatility is likely to continue as economic outlook remains uncertain and Covid-19 is still a major concern

The correction in the markets has taken a toll on equity portfolios of mutual fund (MF) investors, with such funds losing 11-15 per cent in the first half of the calendar year 2020.

Large-cap funds — the largest equity category — have failed to meet investors’ expectations with negative returns of around 13 per cent over this period.

MF distributors say they have seen investors booking losses and exiting portfolios. 

“Investors, who are worried over their cash flows and were chasing returns, are now looking at pulling