Inflows into equity mutual fund (MF) schemes declined 26 per cent month-on-month (M-o-M) in February to Rs 29,303 crore. The net collection, down for the second consecutive month, is the lowest since April 2024.
According to MF executives, while the decline in inflows can largely be attributed to equity market volatility, the lower number of working days in February was also a factor.
“We observed a paradox of risk, as equity flows dropped by about 25 per cent compared to January. It is important to remember that risk increases as markets rise and decreases when markets fall. However, investor flows