Equity MF folio growth down in June due to volatile markets
The pace of folio growth has tapered off amid choppy market conditions and a three-month embargo up till June on new fund offerings. The net folio addition in equity mutual funds dropped to a 14-month low of 9.3 lakh in June 2022. It was nearly half of the one-year average addition, the data from AMFI showed.The total equity folio count reached nearly nine crores in June.
The average investment per folio was Rs 1,43,695 in June, a drop of 14% from the peak in December 2021.
The total number of equity mutual fund schemes unchanged at 366 in the past three months.
The net equity folio addition had reached a peak of over 20 lakhs over the previous few months. A folio number is a unique number linked to an account with an asset management company. Investors may have multiple folios.
The equity folio accounts form nearly 62% of the total industry folio. Sectoral funds account for nearly one-third of the total equity fund schemes.
Multicap and sectoral funds have witnessed the highest degree of moderation with monthly addition falling to one-third of the last one-year average. The multicap funds’ contribution to total new equity folio addition dropped to 8.6% in June 2022 compared with the six-month average contribution of 13.2%. The sectoral fund folio contribution slipped to 11.8% in June 2022, a drop of 473 basis points from the six months average.
Welcome to post your MF questions @ sahifund.com/ask-me/
IPO Details & Guidance @ chanakyanipothi.com