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Equity MF bets lose some zip, seasonal debt flow lifts AUM

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Equity MF bets lose some zip, seasonal debt flow lifts AUM
Mumbai: Retail investors slowed equity purchases by nearly 15% in July, putting in ₹24,697 crore into mutual funds, compared with ₹28,973 crore of fresh commitments in June. Purchases of debt instruments, which experts attributed to seasonality, helped expand the total industry size. Growth in systematic investment plans (SIP) continued to be steady with investors allocating ₹31,961 crore, compared with ₹31,781 in the previous month.

Being the first month of the quarter, debt funds saw inflows of ₹1.88 lakh crore, inflows largely into liquid, overnight and money market funds. Due to this, assets under management (AUM) of the industry rose to ₹85.59 lakh crore from ₹82.22 lakh crore in the previous month.

Read more: IPO lock-in expiry could bring shares worth $7.6 billion to D-Street

Debt funds saw inflows of ₹1.88 lakh crore, compared with outflows of ₹1.09 lakh crore in the previous month. “The sharp reversal needs to be viewed in the context of the seasonal pattern in debt-fund flows, which typically see sizeable redemptions around the June quarter-end and tax-payment period before seeing flows return in the subsequent months,” says Kartik Jain, MD & CEO, Shriram AMC.

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Equity MF Bets Lose Some Zip, Seasonal Debt Flow Lifts AUMAgencies

Investors still said to be cautious on equity funds; put more money in mid- and small-cap categories

Liquid and overnight funds saw inflows of ₹1.49 lakh crore as corporate treasuries parked money in these low risk schemes being the first month of the quarter.
Money market funds too saw inflows of ₹21,180 crore, while ultra short duration funds saw investors add ₹8,039 crore.Small- and Mid-caps

Investors continued to allocate more money to mid- and small-cap categories, putting in ₹13.960 crore, or 56% of the total equity flows. That compares with ₹11,692 crore, or 40% of the flows, in the previous month. “There is a cautious stance on equity oriented MF given lower returns over past two year period,” says Akhil Chaturvedi, executive director and chief business officer, Motilal Oswal Asset Management.

Multicap schemes saw an increase in net inflows to Rs 3,227 crore from Rs 3,070 crore in the previous month. However, large cap funds saw outflows of Rs 1,322 crores, their first outflow in 30 months, as investors reduced their exposure to large cap positioning, given the low returns in the last couple of years.

Flows into Flexi Cap funds moderated to Rs 4,709 crores,lower than the previous month’s Rs 5,231 crore. Value/Contra Funds also saw outflows of Rs 145 crores, compared to Rs 687 crore in the previous month, while inflows into Sectoral/Thematic funds eased to Rs 1,328 crores, compared to Rs 1,469 crore in June.

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Among hybrid strategies, aggressive hybrid funds which invest about 65-80% in equities and 20-35% in fixed income saw investors added Rs 1,986 crore slightly lower than Rs 2,121 crore in June. Other categories like multi asset allocation funds also added Rs 3,753 crore compared to Rs 4,811 crore in the previous month, while arbitrage funds added Rs 6,502 crore higher than June’s Rs 5,799 crore.

Gold ETFs saw lower flows of Rs 1,559 crore compared to Rs 3,443 crore in the previous month as investors preferred to stay on
the sidelines after the strong rally in precious metals over the last one year.

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Credo’s Meltdown Is A Gift – Durable Capex Meets Cooling AI Trade (NASDAQ:CRDO)

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Nebius: A Gift At Current Consolidation - Cloud Super Cycle Continues

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of AVGO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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Diamond Hill Short Duration Investment Grade Strategy Q2 2026 Commentary

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Diamond Hill Short Duration Investment Grade Strategy Q2 2026 Commentary

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abrdn Total Dynamic Dividend Fund Q2 2026 Commentary

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abrdn Total Dynamic Dividend Fund Q2 2026 Commentary

abrdn Total Dynamic Dividend Fund Q2 2026 Commentary

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Sandisk: It's The Perfect Time To Load Up

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Sandisk: It's The Perfect Time To Load Up

Sandisk: It's The Perfect Time To Load Up

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TCW Private Asset Income Fund Q2 2026 Commentary (undefined:TPYTX)

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TCW Private Asset Income Fund Q2 2026 Commentary (undefined:TPYTX)

TCW is a leading global asset management firm with more than five decades of investment experience and a broad range of products across fixed income, equities, emerging markets, and alternative investments. TCW’s clients include many of the world’s largest corporate and public pension plans, financial institutions, endowments and foundations, as well as financial advisors and high net worth individuals.
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Amazon Prime Air Boeing 767 overruns runway at Miami airport

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Amazon Prime Air Boeing 767 overruns runway at Miami airport

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Trump administration focuses on boosting oil output, Wright says

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Trump administration focuses on boosting oil output, Wright says

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Nepal rescuers continue search for missing as identification of dead remains challenge

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Nepal rescuers continue search for missing as identification of dead remains challenge
Kathmandu: Rescuers in Nepal continued searching for those missing, as authorities faced continuing difficulties in identifying the dead, 11 days after devastating floods struck large parts of the country.

The death toll stood at 1,344, while nearly 5,000 people, including 589 foreign nationals, remained missing, according to Nepal Police. Around 13,400 people have been rescued so far.

The disaster was triggered by an ice-rock avalanche near the Nepal-Tibet border on August 26, sending a massive surge of water and debris downstream through the Bhotekoshi River and devastating settlements in northern and central Nepal. Homes, vehicles, roads, bridges and hydropower infrastructure were swept away or damaged.

At least 43 people were killed on the Chinese side, while more than 500 people remained missing in Tibet, according to Chinese media reports.

Of the bodies recovered in Nepal, at least 85 were children, while around 500 were recovered with body parts missing, according to officials. The condition of many bodies has complicated efforts to establish their identities.

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Chitwan district accounted for the largest number of recovered bodies, with 362, followed by other affected districts including Nawalparasi East, Nawalparasi West, Nuwakot, Rasuwa, Gorkha, Dhading and Tanahun, according to Nepal’s National Disaster Risk Reduction and Management Authority (NDRRMA).
Only 98 bodies had been identified and handed over to their families, according to NDRRMA.Identifying the dead has emerged as a major challenge, with many bodies recovered after being swept downstream severely damaged, decomposed or recovered only in parts. The police have said that bodies carried far from the disaster sites and those that remained in water and mud have made identification particularly difficult.

Nepal Police has begun collecting DNA samples from relatives of missing people to help identify unclaimed bodies and human remains recovered after the floods. Relatives in Nepal can provide samples through the Nepal Police Hospital in Kathmandu or their nearest district police office.

More than 1,000 unidentified bodies have been buried after DNA samples were collected to facilitate their identification in the future, officials said.

Hospitals struggled to cope with the growing number of unidentified bodies. Large crowds continued to gather at medical facilities, carrying photographs of missing relatives and scrutinising images of the dead displayed on the walls.

Nepal’s Information and Communication Minister Bikram Timilsina has said the government would ensure that there was no shortage of relief materials or mismanagement in their distribution to flood victims. The government was actively involved in relief and rehabilitation efforts despite the scale of the disaster, Timilsina told the online edition of the government-owned Gorkhapatra.

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“Nepal demands climate justice at this moment and the international community should be serious about this,” Timilsina said, adding that the disaster underscored the need for greater preparedness for future climate-related disasters.

Nearly 88,000 cooking gas cylinders have been brought into Kathmandu Valley through alternative routes over the past three days as authorities work to maintain supplies after the disruption of the Prithvi Highway – the primary vital link connecting the Kathmandu Valley to the rest of Nepal and to India.

According to Nepal Oil Corporation (NOC), 87,877 LPG cylinders were brought into the Valley between September 3 and September 6 by 18 companies.

The cylinders were filled at plants in Bara, Parsa, Makawanpur, Chitwan, Nawalparasi, Dhanusha and Mahottari districts before being transported to Kathmandu.

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NOC spokesperson Manoj Thakur said supplies of petroleum products and LPG to Kathmandu Valley and surrounding areas were continuing through alternative routes despite the disruption of the main highway.

The Prithvi Highway was disrupted at Krishnabhir in Dhading on August 30 after erosion by the Trishuli River damaged the road, leaving fuel tankers and LPG carriers unable to proceed towards Kathmandu.

Nepal’s Foreign Minister Shisir Khanal and his South Korean counterpart Cho Hyun on Sunday discussed ongoing search, rescue and relief operations. In their meeting in Kathmandu, the two leaders held in-depth discussions on efforts to locate missing South Korean nationals, Khanal’s office said.

Khanal thanked the South Korean government for sending an inter-agency rapid response team and the Korea Disaster Relief Team to flood-hit areas, as well as for providing humanitarian assistance and relief materials. He also outlined Nepal’s priority of rebuilding resilient and durable infrastructure and expressed hope for continued South Korean support.

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Cho expressed the “willingness of the Korean Government to support Nepal in the post-disaster reconstruction efforts” and called for Nepal and South Korea to work together to raise awareness about the impacts of climate change, including at global forums such as COP.

Kathmandu has urged friendly countries to confine travel advisories to specific flood-affected areas, while highlighting that the rest of the country remains open and safe for travel and tourism.

The country’s Ministry of Foreign Affairs said on Sunday that it and Nepal’s missions abroad were working closely with friendly countries on the issue.

The request comes after the United States issued a travel advisory on September 4, placing entire Nepal under Level 2, or “Exercise increased caution”, due to natural disasters.

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Tourism is a major contributor to Nepal’s economy, accounting for about 6.4 per cent of GDP and 15.2 per cent of total employment in 2024, according to World Bank data, making travel restrictions a significant concern for the country.

Meanwhile, a fresh flood in Gorkha district early Sunday swept away four houses and a suspension bridge, although there were no casualties.

The flood occurred in Chumnubri Rural Municipality-4 after the Namrung Khola River overflowed, according to police. The four houses were swept away after residents became aware of the approaching flood and fled to safety.

Authorities said the river may have been temporarily blocked near its source before releasing a surge carrying mud and debris downstream. The Namrung Khola flows into the Budhigandaki River, and residents along the Budhigandaki have been urged to remain alert.

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The flooding damaged two small hydropower projects in the wider Namrung area, according to local reports. It also affected movement in the area after the suspension bridge was swept away. PTI

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Boeing 767 cargo plane bearing Amazon logo crashes near Miami airport

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Boeing 767 cargo plane bearing Amazon logo crashes near Miami airport

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Inflation, Apple, Adobe, Oracle, Macy’s, and More to Watch This Week

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PCE, Walmart, Palo Alto, Analog Devices, Deere, and More to Watch This Week

Inflation, Apple, Adobe, Oracle, Macy’s, and More to Watch This Week

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