Mutual funds see record SIP inflows in Nov
₹15,536.42 crore in November, but SIP flows rose to a record high of ₹17,073.30 crore, fuelling a 6% rally during the month. Midcap and small cap funds witnessed continued investor interest. Despite a slight decline of 17.7%, small cap funds still witnessed net inflows of ₹3,699 crore and midcap funds saw a significant upswing attracting investments of ₹2,266.7 crore, a 10.6% increase from the previous month.
Notably, large-cap funds experienced an inflow for a second straight month at ₹306.70 crore, after witnessing ₹5,751 crore outflows since April. “The net flow into equity funds continues to be robust on the back of encouraging macro-economic numbers and corporate earnings growth. While there appears to have been some level of profit booking, the SIP numbers have continued to grow and have hit an all-time high.
This reflects the continued faith of retail investors in the equity markets and in the mutual fund industry. However, we would advise investors to stagger their investments in small and midcap funds in view of the possibility of short-term volatility," said G. Pradeepkumar, CEO, Union Asset Management Company Pvt LTD.
Further, highlighting the positive sentiment, the Nifty Smallcap 250 Index outperformed its peers, surging 10.4%. This compared favourably to the 9.75% gain of the Nifty Midcap150 and the 6.02% gain of the Nifty50, demonstrating the strong performance of small-cap stocks during the month. “The overall AUM stands at ₹49,04,992.39 crore in November 2023.
We believe this trend will continue through December as well and the numbers will continue to remain positive. The SIP contribution stood at ₹17,073.30 crore with a total of 7,44,13,903 SIP accounts, highest till date. We reiterate that investors
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