Mutual fund industry asset base rises by Rs two-trillion in 2012
He also said that stock market and mutual funds stand to attract more investments from Rajiv Gandhi Equity Savings Scheme, after some initial hiccups.
"We have seen the AUMs increase largely in fixed income and gold schemes," Quantum AMC CEO Jimmy A Patel said.
Birla Sun Life Asset Management Company CEO A Balasubramanian said: "In 2012, the mutual fund witnessed growth in fixed income schemes. Within fixed income schemes, actively managed duration focused funds got inflows.
"In other words, debt funds attracted inflows due to stable to benign interest rate regime. Overnight rates more or less remained above the Repo rate. As a result of this, most of the fixed income schemes including money market mutual fund schemes generated higher returns than Bank fixed deposit return," he added.
Inflows in income and liquid funds have contributed the most to the industry's rising AUM. With inflows of Rs 89,302 crore, money market funds AUM surged to Rs 1.77 lakh crore. A similar trend was seen in liquid funds, where inflows rose to Rs 80,880 crore taking the assets managed by the fund to Rs 3.87 lakh crore.
Similarly, equity funds' AUM rose to Rs 1.65 lakh crore despite registering outflows of more than Rs 9,300 crore. AUM of equity linked savings scheme too increased to Rs 25,027 crore though it saw investors pull out over Rs 1,400 crore this year.
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