Open-Ended Equity Fund Inflows in India Rise for the 46th Consecutive Month

New Delhi, Jan 9 (NationPress) Despite a lack of vigor in the equity market during December, inflows into open-ended equity funds have maintained a positive trajectory for the 46th consecutive month, as reported by industry analysts on Thursday.
Data from the Association of Mutual Funds of India (AMFI) revealed that actively managed equity mutual fund inflows experienced a monthly growth exceeding 14 percent, totaling Rs 41,155.9 crore in December.
Jatinder Pal Singh, CEO of ITI Mutual Fund, noted that gross inflows into active equity schemes rose by 17 percent in December compared to November, surpassing Rs 72,000 crore, with net flows recorded at Rs 41,156 crore.
“This increase can be attributed to a remarkable 70 percent absolute growth in gross inflows into sectoral/thematic equity schemes (Rs 22,128 crore in December vs Rs 13,133 crore in November), largely driven by NFOs (12 sectoral/thematic fund NFOs),” Singh explained.
Inflows in the large cap category, however, saw a decline of 8 percent month on month, while net flows dropped by 21 percent compared to November 2024.
Throughout the calendar year 2024, the Gold ETF category recorded a net inflow of Rs 11,226 crore, a significant increase from Rs 2,920 crore in 2023, reflecting a staggering growth of 284 percent.
The assets under management in this category also surged from Rs 27,326 crore in December 2023 to Rs 44,596 crore in December 2024, marking a 39 percent increase.
Akhil Chaturvedi, Executive Director and Chief Business Officer at Motilal Oswal AMC, noted that the Indian mutual fund industry experienced robust demand for equity funds in December, particularly for small-cap and sectoral/thematic funds, while other open-ended mutual funds faced net outflows.
“The equity segment was further enhanced by inflows from new fund offers, with passive funds leading the trend. Additionally, there was a notable increase in demand for small-cap funds, although other categories such as multi-cap, large-cap, and large and mid-cap funds saw a decrease in investor interest,” he remarked.