Page 4 - Equity Mfs

Equity mutual funds face 45% rise in redemptions during 2017 at Rs 1.9 trn

Redemptions at equity mutual funds climbed in 2017 amid sharp rally in stock prices. According to statistics provided by the Association of Mutual Funds in India (Amfi) equity schemes' units worth Rs 1.9 trillion were redeemed in 2017, an increase of 45 per cent from Rs 1.3 trillion redeemed in the preceding year.The redemptions could be on account of churn in portfolios by investors and also profit-taking by investors after huge appreciation seen in the market in the past four years.Thanks to the high gross sales of Rs 3.43 trillion, equity schemes still managed to garner net inflows of Rs 1.52 trillion. Also, redemptions -though high in absolute terms-- as a percentage of total sales was lower than the previous year.In 2016, the equity redemptions were nearly 70 per cent of the total sales. Last year, it declined to 55 per cent.Sector officials say that there are always a set of investors who tend to book profits after meeting their returns expectation. Investors, particularly high .

Equity MFs inflow at record Rs 1.3 trn in 2017 over low bank deposit rates

The spike in bank deposits and consequent decline in interest rates following demonetisation on November 8, 2016 has also helped mutual funds

Investor flow into equity mutual funds at Rs 20,308 cr in November

Equity mutual funds (MFs) saw net investor inflow of Rs 20,308 crore in November, despite weakness in the stock market. This is the second time after August that equity schemes got monthly inflow in excess of Rs 20,000 crore. The average inflow for the previous four months was Rs 18,900 crore.With this, total inflow for the year is Rs 1.36 lakh crore, highest yet in a calendar year. The total of equity assets is Rs 8.3 lakh crore or 37 per cent of assets under management (AUM) in the sector, which also rose to a record Rs 22.8 lakh crore at the end of November. Overall AUM saw an increase of 6.5 per cent over the month.Barring gilt schemes and gold funds, all other fund categories had inflow. Total inflow in the sector was Rs 1.26 lakh crore, led by liquid and money market funds which brought Rs 77,400 crore.Sector executives say MFs as a product are establishing a strong connect with investors. Other factors such a lower rate of interest in bank deposits and a weak outlook in the ...

Equity MFs invest over a tenth of investments in new listings in 2017

Of the total net investments of Rs 89,000 cr till Sept, fund managers moved a little over Rs 11,300 cr in new listings

Equity MFs stick to their top picks as market trades at historical highs

Fund managers have increased their quantum of investments in the top 10 by 43% so far in 2017 to Rs 1.52 lakh crore, from Rs 1.06 lakh crore

MFs' pace of buying in May slows as shares surge

Mutual funds (MFs) have dropped the pace of buying amid the benchmark indices touching record highs in May.According to statistics from the Securities and Exchange Board of India (Sebi), fund managers collectively invested Rs 8,959 crore in May, a fifth less than the Rs 11,244 crore in April.The investment figure last month was, however, much more than the average monthly investment of Rs 6,350 crore for 2017 so far. Some fund managers were taking money off the table as stocks climbed to record levels, resulting in lower investment tally."Markets on the index level are high enough to make us re-look at our stock picks. There is certainly a mismatch between market expectations and ground developments. The margin of safety has taken a hit. Capital expenditure and earnings are not rising as we had been expecting. We are cautious and risk-adjustment against returns is a top priority at such times, while concentrating on a few large companies," says the chief investment officer of one of ..

Liquidity gush keeps equity MFs busy

Amid a gush of liquidity, equity fund managers have been doing a lot of timely stock buying, while faring less well in sale of holdings.The year started with the most buying in Infosys, the favourite information technology stock of fund managers. However, they took a sell call on peer Tata Consultancy Services (TCS). The following month, the latter rallied 11 per cent and Infosys by nine per cent.Fund managers' sell call on Axis Bank, Grasim Industries and HDFC Bank did not turn out well. All these counters gained quite a lot. Rather, on Axis and Grasim, fund managers continuously failed with their sell calls. They soon reversed strategy on HDFC Bank and after selling the counter in February, infused nearly double the amount. On an aggregate level, of the 20 buy calls taken during January-April (tracking the five most bought stocks per month), 16 of these rewarded the fund managers; only four went wrong in the short term. But, of 20 selling decisions, they proved wrong on 13 ...

Equity MFs' cash component hits 6.5% as shares hover at all time high

With strong domestic inflows continuing as Indian shares hover at all-time highs, equity fund managers are increasingly taking the precaution of keeping a higher amount of cash.Recent data shows the cash component against total equity assets under management (AUM) a little over 6.5 per cent, a multi-year high. A year before, the cash position did not exceed four percentage points.Unreasonably high valuations in the mid-cap and small-cap space are making fund managers wary and they've been cashing out from those positions. Since November, when demonetisation was announced, there's been a problem in deploying these, resulting in a continuous rise in the cash component. "At any point of time, I have to be sensitive to the risks involved while generating returns for investors. I can't afford to go reckless with investor money at a time when expectations are too high to manage. Efforts are being made to shift as much assets into giants of the sectors, such as L&T, Tata Motors, ICICI ...

Equity mutual fund inflows hit 4-month high of Rs 9,429-cr in April

The strong inflows have pushed the asset base of equity mutual funds by 5% in April

FY17 equity MF inflows drop by 27% to Rs 51,000 cr due to market volatility

However, fund houses are upbeat about the industry's performance in the new financial year

Equity MF inflow at Rs 6,500 cr in Feb; Rs 62k cr in 11 months

Growing participation from retail investors, huge inflow in equity schemes increased the folio count

Equity MFs see inflows of Rs 6,462 cr in February

Domestic investors continue to invest despite the markets climbing to record levels

Lump sum investments dry up for MFs

SIPs keep MFs afloat as investors redeem Rs 1.3 lakh crore in one year

Equity MF cash levels at multi-year high

ICICI Pru MF, the largest fund house, has raised this to 12%; sectoral level at 5%, from 3.8% in Nov, showing cautious stance

Equity MF inflow at Rs 4,900 crore in Jan; Rs 55,700 crore in FY17

This marks the 10th straight month of inflows into equity schemes

Equity MFs stick to their top 10 bets in 2016

At the start of 2016, HDFC Bank, Infosys, ICICI Bank, L&T and Axis Bank were the top five picks

Investor flows in equity MFs at hit 16-month at Rs 9,400 crore

Experts say correction in the stock prices from their September highs spurred investor buying

Stellar two years for equity MFs

The retail-investor-focused equity segment's AUM has nearly doubled in two years to Rs 4.5 lakh crore at the end of July

Equity MF assets base at record high of Rs 4.5 lakh crore

Market experts attributed the rise in the inflow to investments in SIPs and strong participation from retail investors

Popular equity schemes fail to beat bank RD returns

Returns by several most-preferred equity mutual fund schemes could not keep pace with what the humble recurring deposit offered investors