'Growth Despite Market Volatility...' AMFI SIP, Mutual Fund Data Reveals Domestic Investor Is Bullish On India Story

The Association of Mutual Funds in India (AMFI) has announced the economic trends for December 2024. The announcement was made by Venkat Chalasani, Chief Executive Officer, AMFI who spoke about the performance of the Indian economy including Gold Exchange Traded Funds (ETFs), microfinance industries, and equity flow among other parameters.

AMFI December Data: Mutual Fund Industry

The mutual fund industries assets stood at Rs 66.9 Lakh Crores for the month of December. There is a year-on-a-year growth of around 32 percent, and the folio count is at 22.50 crore.

12 new mutual funds were launched in December in the sectoral and thematic category, which collectively mobilised 11,337 crores.

Mutual funds was the second highest growing industry with an inflow of Rs 41,150 crore in December. This came "two months after recording the highest inflow in the month of October, at Rs 41,887 crore," said Chalasani. “The Growth is despite market volatility,” he added.

The mid-cap funds have seen the highest flow for 2nd consecutive month, and small-cap funds have experienced the highest inflow since June 2023.

Equity Scheme Investments

The growth of equity equity-centered scheme was at the second-highest monthly inflow of Rs 41,156 crore in December. This included decent growth in mid-cap and small-cap funds.

AMFI December Data:  Debt Funds

The outstanding stood at Rs 15.67 lakh crore, with a degrowth of 7.1 per cent. "This is a trend we normally see at quarter end.", said Chalasani.

This is the 50th consecutive month of positive inflow. The overall AUM is 66.923 crore, a degrowth of last month which was over 68 lakh crore.

Equity microfinance

This sector experienced the second-highest growth inflows. In terms of category growth, the overall AUM of the mutual fund industry has closed at 66.9 crores over the last month, which was locked at over 68 lakh crores.
"We have also seen a loss on account of market losses. Nifty has fallen by 2.2 per cent and BSE by 2.08 per cent month-on-month," said Chalasani.

Breakup of funds

The equity fund stands at Rs 30,5700 crore, debt of Rs 15,67,000 crore, and hybrid of Rs 8,76,000 crore.

Monthly equity inflow of Rs 41,156 crore, and debt of negative 1,27,153 crore. 
 

AMFI December Data:  Folio Accounts Surge

The number of folio accounts has gone up by 1.9 per cent from December 2023 to December 2024. 41.89 lakh crore accounts are added, bringing the overall folio account to 22.50 crores.

The overall outflows are from the shorter end, like overnight, ultra short-term, low duration, and money market funds. there is a positive growth of Rs 680 crores for long-duration funds. 

The Resilient Gold ETF

“Gold ETF has demonstrated resiliance.”, said Chalasani. The ETF is rising at 5.8 per cent month-on-month for December.  

"Despite market volatility there has been positive inflows in equity funds, and SIP (Systematic Investment Plan) continues to play a vital role. 

The Future Of The Market

Chalasani said, "There are uncertainties due to Trump taking over, so volatility is there. The flows will (probably) continue to come into the market." He also added that he will not predict what is going to happen in the equity market. 

“The flow however is there in the market, despite the uncertainties.”, he said.