High Asset

Growth in Assets Under Management for equity mutual funds at 12-month high in Gujarat |


AHMEDABAD: The growth in Assets Under Management (AUM) for equity-linked mutual funds was at a 12-month high in June this year, according to the data released by the Association of Mutual Funds in India (AMFI). The AUM stood at Rs 1.11 lakh crore in June 2021, up by Rs 6,286.93 crore against May’s Rs 1.05 lakh crore in Gujarat.
According to experts, fresh inflows in June and a buoyant SIP investment drove the growth. The last time the growth in equity-linked MFs was above this level was in June 2020 versus May 2020 — at Rs 6,316.18 crore.

“The inflows into systematic investment plans were very good in June. In fact, across India, SIP inflows crossed the pre-Covid levels to touch Rs 9,000 crore,” said Mumukshu Desai, the director of an Ahmedabad-based financial advisory firm. “At the same time, markets have given no signs of a major correction in the near future. Therefore, fresh investments continued to pour in from both retail as well as HNI investors.”
Desai said that international funds as well as hybrid funds have witnessed good traction from investors. “Equity-linked mutual funds investment is a major point of attraction because of better returns and also due to the plunging fixed deposit rates,” said Desai.
Financial consultants said that the net asset value of existing investments also went up significantly. “The mark-to-market value went up as the stock market indices grew,” said another financial analyst based in Ahmedabad. “As a consequence, the overall AUM for equity- investments grew.”
The overall assets under management also grew by Rs 6,883.01 crore to settle at Rs 2.3 lakh crore in Gujarat.


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