The largest inflows into large-cap MFs in 19 months
NEW DELHI: With an inflow of Rs 1,287 crore into large-cap focused mutual funds in January—the largest fund inflow in 19 months—investors were booking profits due to a notable surge in small and mid-cap stocks. This is a significant recovery from December’s net outflow of Rs 281 crore. Also, compared to the inflows of Rs 716 crore in January of previous year, the quantity was 80% greater.
The largest-cap equity category’s asset base increased by 26% to Rs 3 lakh crore at year’s end from Rs 2.4 lakh crore thanks to the most recent inflow.
The Association of Mutual Funds in India (Amfi) recently released statistics showing that large-cap oriented equities mutual funds had inflows of Rs 1,287 crore in January. Since July 2022, when the category received an inflow of Rs 2,052 crore, this was the highest amount.
According to Kaustubh Belapurkar, director-manager research at Morningstar Investment Research India, investors are booking some profits and rebalancing into large-caps due to the notable run-up in small and mid companies.
The category brought in Rs 307 crore in November and Rs 724 crore in October prior to the outflow in December 2023.
