July Sees a Decline in Equity Mutual Fund Inflows and a Surge in Debt Fund Investments
Market Overview
In July, equity mutual fund inflows declined by 9%, totaling Rs 37,113 crore compared to Rs 40,608 crore in June.
Sectoral Funds
- Sectoral/thematic fund inflows also plummeted by 18%, reaching Rs 18,386 crore.
Debt Mutual Fund Performance
On the other hand, debt mutual funds witnessed a significant reversal, with inflows of Rs 1.19 lakh crore in July, compared to an outflow of Rs 1.07 lakh crore in June.
Investor Sentiment
This shift indicates a change in investor preferences, as more investors are opting for safer debt instruments over volatile equity markets.
Conclusion
The latest trends underscore the ongoing volatility in the equity market and a growing inclination towards debt investments, driven by shifts in risk appetite among investors.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.