Trends in Mutual Fund Average AUM: Oct-Dec, 2023

December 29, 2023

The Mutual Fund industry saw a remarkable surge of 22.25% in Average AUM YoY to ₹49.22 Lakh Crores in the Oct-Dec 2023 quarter. This notable increase reflects a robust growth of 4.74% over the previous quarter’s ₹46.99 Lakh Crores, showcasing the industry’s resilience and investor confidence during a standout financial period.

SBI Mutual Fund solidifies its leadership, holding the top position for a remarkable 16th consecutive quarter.

The top 10 Asset Management Companies (AMCs) played a pivotal role in the Mutual Fund industry’s growth, contributing a significant 68% to the increase in Average AUM for the last quarter.

In the December quarter, Bajaj Finserv Mutual Fund, WhiteOak Capital Mutual Fund, Quant Mutual Fund, 360 ONE Mutual Fund, and Mahindra Manulife Mutual Fund demonstrated notable performance in terms of percentage growth in Average AUM, compared to the previous quarter.

Old Bridge Mutual Fund, Helios Mutual Fund, and Zerodha Mutual Fund are the latest entrants in the Mutual Fund industry, marking a new phase of diversity and competition in the sector.

For a comprehensive understanding and more insights, please go through our detailed report.

2023’s Finale: Will the Santa Claus Rally Follow Indian Market Triumph?

December 22, 2023

As we approach the final trading week of 2023, a palpable excitement is brewing among traders and investors, fueled by the prospect of witnessing an official Santa Claus Rally.

Santa Claus rally is a seasonal phenomenon that involves a rise in stock prices during the last 5 trading days in December and the first 2 trading days in the following January. It refers to the jump in stock prices in the week between Christmas and New Year’s Day.

Since 1950, the S&P 500 index has gained an average of 1.3% during Santa Claus rally periods. Now the S&P 500 index teeters on the brink of a record-shattering feat, a mere 1% shy of surpassing its highest close. This air of anticipation is not just confined to Wall Street; it resonates across the globe.

Indian Market Triumph: A Year of Stellar Gains

In the vibrant markets of India, the year has been marked by a remarkable ascent, with a formidable 17% gain in Nifty so far. This impressive rally didn’t just materialize out of thin air; its seeds were sown twelve months ago. Those pivotal seven days at the year’s dawn saw the Indian markets leap by 1.4% in 2022, setting the stage for a year of robust financial growth.

Since 2000, average monthly return of Nifty is 1.09% whereas average return during Santa Claus Rally periods is 2.32%. In last 23 years, Nifty gave negative returns just 3 times during this period.

Looking Ahead: Hopes for a Prosperous 2024

As we stand on the cusp of 2024, there’s a collective hope for a verdant conclusion to this year, laying the groundwork for yet another bullish surge in the markets. This anticipation isn’t just about numbers and percentages; it’s a reflection of the enduring spirit of the market, resilient and ever-evolving, mirroring the hopes and aspirations of its myriad participants.

For a comprehensive understanding and more insights, please go through our detailed report.

November’s Equity Explorer: Navigating the Equity Mutual Fund Universe

December 13, 2023

In the dynamic world of Equity Mutual Fund Schemes, November was a month of both triumph and transition. The Net Assets Under Management (AUM) soared to an extraordinary ₹20.33 Lakh Crore, a testament to the resounding success of Indian equity markets. However, it was also a month that saw a 22% dip in inflows, as they descended from ₹19,957 Crore in October to ₹15,536 Crore.

The spotlight has been on Small Cap, Mid Cap and Sectoral/Thematic Funds, which have become the investment products of choice in 2023. The Small Cap Fund category, in particular, has stood out, attracting a substantial ₹37,178 Crore in net inflows since the beginning of the year.

The inflow surge in November was propelled by the debut of six new equity funds, accumulating an impressive ₹1,907 Crore in investments. Within this exciting lineup, the Aditya Birla SL Transportation & Logistics Fund, Helios Flexi Cap Fund, Quant Momentum Fund and Kotak Consumption Fund shone as standout performers, collectively drawing in over ₹1,800 Crore in investments.

For diversifying their portfolios, equity mutual fund schemes have embarked on fresh investments in over 180 small cap stocks.

Several equity mutual fund schemes opted for fresh investments in a diverse range of companies, including Tata Technologies, Indian Renewable Energy Development Agency, Flair Writing, Apar Industries, CG Power, Zomato, Bajaj Finance, Bajaj Auto, Lupin, PFC, Hero MotoCorp and Alkem Laboratories.

In the recent period, certain equity schemes made complete exits from their investments in Suzlon Energy, Bharat Forge, MTAR Technologies, Jio Financial Services, Carborundum Universal, SBI, Maruti Suzuki, Indraprastha Gas, DLF and Ashok Leyland.

For a comprehensive understanding and more insights, please go through our detailed report.

Mutual Fund Flows – November 2023

December 9, 2023

Overall Mutual Fund Industry Growth: Steady Increment of 1.97% in average AUM to reach an impressive ₹48.74 Lakh Crs with new inflow of ₹25.61K Crs in November.

Equity Fund Inflows: Inflow dipped by 22% to ₹15.54k Crs in November compared to October month with positive inflows across all equity fund categories, including hybrid schemes.

Equity Investment Trends: Small Cap and Mid Cap funds are stealing the spotlight with a whopping ₹3,699 Crs pouring into Small Cap funds and ₹2,666 Crs finding its way into Mid-Cap investments.

SIP Contribution: Record-setting SIP inflows at ₹17,073 Crs for the month of November.

Debt Fund Market Outflows: The Debt segment experienced a significant shift in November as debt mutual funds saw net outflows of ₹4,707 Crs. This marked a notable contrast to the ₹42,634 Crs net inflows witnessed in October.

Corporate Bond and Ultra Short Duration Fund Outflows: Corporate bond funds witnessed net outflows of ₹1,578 Crs, while ultra-short duration funds experienced net selling of ₹1,866 Crs.

For a comprehensive understanding and more insights, please go through our detailed Mutual Fund Flow report.