9 equity mutual fund categories attract inflows in August; small caps remain investor favourite

Equity mutual fund inflows surged 19% to Rs 29,328 crore in August from Rs 24,697 crore in July, according to monthly data released by the Association of Mutual Funds in India (AMFI). Here is a detailed breakdown of monthly inflows.

Among the 11 sub-categories, smallcaps received the highest inflows of Rs 7,973 crore in August, compared with Rs 7,767 crore in July. Midcap funds received the second-highest inflows at Rs 6,989 crore
“Small caps and midcaps seem to be the flavour for investors. Investors seem to be willing to take more risk rather than playing it safe,” said Juzer Gabajiwala, Director - Ventura.

Flexi cap mutual funds received an inflow of Rs 5,059 crore in August against an inflow of Rs 4,709 crore in July. “The category's ability to allocate dynamically across market capitalisations continues to make it an attractive option for investors seeking diversified equity exposure,” said Himanshu Srivastava, Principal, Manager Research, Morningstar Investment Research India

Large & mid cap funds received an inflow of Rs 3,872 crore in August compared to an inflow of Rs 3,425 crore in July. Multi cap funds received an inflow of Rs 3,732 crore. Srivastava said that this indicates sustained demand for strategies offering diversified participation across market segments.

Thematic funds and contra funds received an inflow of Rs 1,766 crore and Rs 1,328 crore respectively.

Focused funds and value funds received an inflow of Rs 994 crore and Rs 24 crore respectively in August.

Largecap funds saw an outflow of Rs 1,147 crore. Dividend yield funds and ELSS funds saw an outflow of Rs 133 crore and Rs 1,078 crore, respectively. Sectoral funds saw an outflow of Rs 53 crore.