IGI Logo

Below the Quote on AMFI data December 2024 by Arvind Kothari, smallcase Manager and Founder of Niveshaay

“Despite a marginal decline in overall AUM, settling at Rs.66.93 lakh crore, robust equity inflows and diversified participation underscore the market's resilience and long-term attractiveness. Equity AUM held steady at Rs.30.6 lakh crore, driven by net inflows of Rs.41,156 crore, reflecting strong investor confidence in the growth potential of equities.

Midcap and smallcap schemes continued their upward trajectory, attracting significant investments for the fifth consecutive month. This highlights growing confidence in India's growth story and the ability of these segments to outperform, particularly as investors seek opportunities in less saturated, high-growth areas of the market. Similarly, sectoral and thematic funds saw a sharp rise in inflows, jumping to Rs.15,000 crore, signaling heightened interest in targeted opportunities within industries like technology, infrastructure, and green energy.

Systematic Investment Plans (SIPs) remained a cornerstone of retail participation, with record monthly inflows of Rs.26,459 crore, up from Rs.25,320 crore in the prior month. This consistent retail engagement provides a stable foundation for market growth, even amidst short-term volatility.

With strengthening domestic fundamentals and robust participation across equity schemes, the Indian equity market is well-positioned for sustained growth. Midcap and smallcap segments, in particular, are expected to play a pivotal role in driving future returns and wealth creation.”

Above views are of the author and not of the website kindly read disclaimer