Investors pull out whopping Rs 60,000 cr from mutual funds in June

Investors pulled out nearly Rs60,000 crore from various mutual fund schemes in June afterputting in a staggering Rs 1.5 lakh crore in the precedingtwo months.

As per the latest data available with the Securities andExchange Board of India, there was a net outflow of Rs 59,726
crore in June as against a net inflow of Rs 1,46,094 crore inthe previous two months.

In May, investors had pumped in Rs 33,661 crore invarious mutual fund (MF) schemes, while in April they had put
in Rs 1.12 lakh crore in several such products.At gross level, MFs mobilised Rs 8.92 lakh crore in June,while there were redemptions worth Rs 9.51 lakh crore as well.This resulted in a net outflow of Rs 59,726 crore.

This significant level of funds withdrawal has also ledto the decline in the total assets under management of MFsthat fell to Rs 9.75 lakh crore as on June 30, from a recordRs 10.11 lakh crore in the previous month.
MF is an investment vehicle that pools funds from manyinvestors for investing in securities such as stocks, bonds,
money market instruments and similar assets.The strong outflow in MF schemes coincided with a gain inBSE’s benchmark Sensex by 5 percent last month.

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Overall, during the current financial year so far, MF ona net basis have mobilised Rs 86,369 crore as compared to Rs53,783 crore garnered in the entire 2013-14 fiscal.

PTI