Equity MFs see first outflows since 2016
Live MintEquity mutual funds saw a net monthly outflow for the first time in more than four years as investors booked profits after a sharp rally, with some of them ploughing the money back into safer assets such as gold and debt funds, worried about the recent exuberance in stock prices. July saw a net outflow of ₹2,480.35 crore from equity mutual funds, the first such sell-off since March 2016, data released by the Association of Mutual Funds in India on Monday showed. Net redemptions in equity mutual fund schemes increased to a four-month high at ₹16,622.01 crore in July, rising 23% from ₹13,520.03 crore in June. “July debt fund inflows will be a little distorted by the large investment of a particular corporate group,” said Rajeev Radhakrishnan, head of fixed income at SBI Mutual Fund.