According to ICRA Analytics, the growth of AAUM indicates a growing appetite to invest in mutual funds among investors from smaller cities and towns.
“The share of North-Eastern states in the total AAUM of the mutual fund industry increased to 0.73 per cent, at Rs 55.01 lakh crore in March 2024, from about 0.67 per cent in March 2020, when the industry's AAUM was Rs. 24.71 lakh crore,” ICRA Analytics said.
Although the contribution of these states to the total AAUM of the industry is still small in percentage terms, there has been a steady and sustained increase in mutual fund inflows into these states due to increasing awareness among the people and increasing interest among retail investors. Investing in equities through the mutual fund route, said Ashwini Kumar, senior vice president and head of market data, ICRA Analytics.
Among the eight northeastern states, Assam was the leading contributor with AAUM of Rs 29,268 crore, which was about 73 per cent of the total AAUM of Rs 40,234 crore in March 2024.Assam's AAUM grew by nearly 159 per cent in the last five years, standing at Rs 11,298 crore in March 2020.
Meghalaya's share in total AAUM in March 2024 was 9 per cent i.e. Rs 3,623 crore, which was 111 per cent more than Rs 1,714 crore in March 2020. Tripura's share was up 5 per cent at Rs 2,174 crore (Rs 1,155 crore in March 2020). Nagaland 4 per cent at Rs 1,668 crore (Rs 965 crore in March 2020); Arunachal Pradesh 3.8 per cent at Rs 1,532 crore (Rs 525 crore in March 2020); ICRA Analytics said Manipur's share increased by 2.25 per cent to Rs 1,152 crore (Rs 403 crore in March 2020), while Mizoram's share increased by 2.25 per cent to Rs 907 crore (Rs 386 crore in March 2020).
“There has been a steady increase in awareness about various investment options mainly among people in smaller cities and towns.This, along with rising financial literacy and increased interest among retail investors for investing in equities through the mutual fund route, contributed to a good growth in AAUM in towns and cities beyond the top 30.
“Investor awareness campaigns run by AMCs (asset management companies) in the north-eastern region have also helped in creating awareness among the people,” Kumar said.
Meanwhile, the Indian mutual fund industry continued its growth momentum with a steady increase in inflows into both debt and equity-oriented schemes in April 2024.
Net AUM of the industry, which recorded a growth of 35 per cent in 2023-24, continued its stellar performance in April and grew by nearly 38 per cent on a year-on-year basis to Rs 57.26 lakh crore. Rs 41.6 lakh crore in April 2023, ICRA Analytics said.Sequentially, net AUM grew 7 per cent compared to Rs 53.40 lakh crore in March 2024. Net inflows increased by 97 per cent to Rs 2.39 lakh crore in April 2023 from Rs 1.21 lakh crore.
Net inflows into debt-oriented schemes under the open-ended category rose 7 per cent to Rs 1.90 lakh crore in April 2024 from Rs 1.07 lakh crore last year.
“The RBI's stance of maintaining status quo on policy rates for the next one or two quarters is likely to lead to some moderation in yields in the near term. However, investors are likely to remain a bit cautious on developments around the election months and will keep a close eye on global interest rates,” Kumar said.Inflows into equity-oriented schemes rose 192 per cent to Rs 18,91 crore (Rs 6,480 crore), while sectoral/thematic funds recorded a 741 per cent rise to Rs 5,166 crore in April 2024, compared to Rs 614 crore last year. Was crore rupees. Year prior period.
“The share of North-Eastern states in the total AAUM of the mutual fund industry increased to 0.73 per cent, at Rs 55.01 lakh crore in March 2024, from about 0.67 per cent in March 2020, when the industry's AAUM was Rs. 24.71 lakh crore,” ICRA Analytics said.
Although the contribution of these states to the total AAUM of the industry is still small in percentage terms, there has been a steady and sustained increase in mutual fund inflows into these states due to increasing awareness among the people and increasing interest among retail investors. Investing in equities through the mutual fund route, said Ashwini Kumar, senior vice president and head of market data, ICRA Analytics.
Among the eight northeastern states, Assam was the leading contributor with AAUM of Rs 29,268 crore, which was about 73 per cent of the total AAUM of Rs 40,234 crore in March 2024.Assam's AAUM grew by nearly 159 per cent in the last five years, standing at Rs 11,298 crore in March 2020.
Meghalaya's share in total AAUM in March 2024 was 9 per cent i.e. Rs 3,623 crore, which was 111 per cent more than Rs 1,714 crore in March 2020. Tripura's share was up 5 per cent at Rs 2,174 crore (Rs 1,155 crore in March 2020). Nagaland 4 per cent at Rs 1,668 crore (Rs 965 crore in March 2020); Arunachal Pradesh 3.8 per cent at Rs 1,532 crore (Rs 525 crore in March 2020); ICRA Analytics said Manipur's share increased by 2.25 per cent to Rs 1,152 crore (Rs 403 crore in March 2020), while Mizoram's share increased by 2.25 per cent to Rs 907 crore (Rs 386 crore in March 2020).
“There has been a steady increase in awareness about various investment options mainly among people in smaller cities and towns.This, along with rising financial literacy and increased interest among retail investors for investing in equities through the mutual fund route, contributed to a good growth in AAUM in towns and cities beyond the top 30.
“Investor awareness campaigns run by AMCs (asset management companies) in the north-eastern region have also helped in creating awareness among the people,” Kumar said.
Meanwhile, the Indian mutual fund industry continued its growth momentum with a steady increase in inflows into both debt and equity-oriented schemes in April 2024.
Net AUM of the industry, which recorded a growth of 35 per cent in 2023-24, continued its stellar performance in April and grew by nearly 38 per cent on a year-on-year basis to Rs 57.26 lakh crore. Rs 41.6 lakh crore in April 2023, ICRA Analytics said.Sequentially, net AUM grew 7 per cent compared to Rs 53.40 lakh crore in March 2024. Net inflows increased by 97 per cent to Rs 2.39 lakh crore in April 2023 from Rs 1.21 lakh crore.
Net inflows into debt-oriented schemes under the open-ended category rose 7 per cent to Rs 1.90 lakh crore in April 2024 from Rs 1.07 lakh crore last year.
“The RBI's stance of maintaining status quo on policy rates for the next one or two quarters is likely to lead to some moderation in yields in the near term. However, investors are likely to remain a bit cautious on developments around the election months and will keep a close eye on global interest rates,” Kumar said.Inflows into equity-oriented schemes rose 192 per cent to Rs 18,91 crore (Rs 6,480 crore), while sectoral/thematic funds recorded a 741 per cent rise to Rs 5,166 crore in April 2024, compared to Rs 614 crore last year. Was crore rupees. Year prior period.
