Equity mutual fund investments soar five-fold to Rs 94,151 crore in June quarter, boosted by strong economic conditions

Investment in equity mutual funds grew more than five-fold in the June quarter on the back of favourable economic environment, supporting government policies, high investor confidence, and great stock returns. The inflow grew to Rs 94,151 crore in the June 2024 quarter against Rs 18,358 crore the previous year. 

The rise in investments has significantly boosted the industry's assets under management (AUM), which grew by 59 per cent to Rs 27.68 lakh crore in June 2024, compared to Rs 17.43 lakh crore the previous year, according to data from the Association of Mutual Funds in India (AMFI).  

Also read: As capital gains tax rates change, here's how much income tax you will pay now on Rs 5 lakh mutual fund earnings

AMFI data highlights that equity-oriented mutual fund schemes saw investments of Rs 94,151 crore in the June 2024 quarter, with monthly inflows of Rs 18,917 crore in April, Rs 34,697 crore in May, and Rs 40,537 crore in June. This marks a five-fold increase from the Rs 18,358 crore invested in the same quarter of 2023 and a 32 per cent rise from the Rs 71,280 crore invested in the preceding March 2024 quarter.

The equity segment saw significant inflows, with sectoral and thematic funds attracting Rs 46,731 crore. Other categories included Multi-cap funds (Rs 10,077 crore), Flexicap funds (Rs 8,387 crore), Large & Midcap funds (Rs 7,948 crore), Smallcap funds (Rs 7,197 crore), and Midcap funds (Rs 6,927 crore). Large-cap funds received Rs 1,991 crore during the quarter.

Also read: Modi government should focus on economic growth, rural consumption: Taher Badshah, CIO, Invesco Mutual Fund

Systematic Investment Plan (SIP) contributions have also been rising, reaching an all-time high of Rs 21,262 crore in June 2024. The total SIP inflow for the April-June 2024 quarter was Rs 62,537 crore, a significant increase from Rs 43,211 crore in the same quarter of the previous fiscal year. This underscores investors' commitment to disciplined and long-term investing.

(With inputs from PTI.)

Catch all the stock market updates here. For all other news related to business, politics, tech and auto, visit Zeebiz.com.