Latest news with #NFOs
Economic Times
10-07-2025
- Business
- Economic Times
Equity MFs see surge in inflows to Rs 23,587 crore in June
Synopsis Equity mutual funds rebounded in June with net inflows of ₹23,587 crore, a 24% increase from May, fueled by flexi-cap, mid-cap, and small-cap schemes. SIP contributions reached a record ₹27,269 crore, driving retail flows. Despite debt fund outflows, the industry's AUM hit a new high of ₹74.41 lakh crore, reflecting positive investor sentiment amid market gains. ET Bureau & Agencies Debt mutual funds recorded net outflows of ₹1,711 crore in June, with liquid funds recording the most outflows. Mumbai: Investments in equity mutual funds rebounded in June after five consecutive months of declining inflows. Net inflows surged to ₹23,587 crore during the month, marking a 24% jump over May's ₹19,013 crore, driven by fresh subscriptions to flexi-cap, mid-cap and small-cap schemes. While debt mutual funds saw outflows, a buoyant equity market and pick-up in retail participation helped the industry's net assets under management (AUM) scale to a new all-time high of ₹74.41 lakh crore in June, up from ₹72.20 lakh crore in May. The reversal comes after inflows had steadily fallen from ₹39,688 crore in January to ₹19,013 crore in May. It was the 52nd consecutive month of flows into equity schemes since March 2021. Record SIPs Systematic Investment Plans (SIPs) remained a major driver of retail flows into equity funds. SIP contributions rose to a record ₹27,269 crore in June, up 2.2% from ₹26,688 crore in May. The number of contributing SIP accounts increased from 8.56 crore in May to 8.64 crore in June. SIP AUM stood at ₹15.31 lakh crore in June, accounting for 20.6% of the industry's total assets, higher than 20.2% in May. A total of 61,91,178 new SIPs were registered during the month. Investor sentiment remained positive despite global uncertainties, with market gains helping equity flows. The NSE's Nifty gained 2.7% and the BSE's Sensex rose 3.1% in Fund Offers (NFOs) also aided inflows in equity funds. NFOs raised ₹1,986 crore across 20 new open-ended schemes in the equity category, flexi cap funds registered highest inflows of ₹5,733 crore, followed by small cap funds that recorded inflows of ₹4,024 mutual fund folios climbed to 24.13 crore as of June, reflecting continued investor interest. Retail mutual fund folios (equity, hybrid and solution-oriented schemes) rose to 19.07 crore in June from 18.84 crore in May, while retail AUM grew to ₹43.99 lakh crore from ₹42.20 lakh crore a month earlier. Hybrids Arbitrage funds contributed ₹15,584.57 crore - the most among hybrid-based funds - though inflows were marginally lower compared with May. The inflows in multi-asset allocation funds that invest in equity, debt and gold grew 9.7% to ₹3,209.9 crore in June. In June, Gold ETFs witnessed inflows of ₹2,080 crore, up 613% from ₹292 crore recorded a month ago. "Almost a 10 times jump in gold ETF inflows suggests investor desire to diversify their asset allocations in an uncertain global environment and hedge against any global volatility," said Sumit Bhatnagar, Fund Manager - Equity at LIC MF. Debt Funds Debt mutual funds recorded net outflows of ₹1,711 crore in June, with liquid funds recording the most Funds saw the highest outflows at ₹25,196 crore, largely driven by corporate advance tax payments, though this was 37% lower than May outflow of ₹40,205 crore. Overnight Funds also remained negative with ₹8,154 crore in the debt segment largely remains influenced by liquidity and rate expectations, shorter-duration funds benefited from investor preference for relatively safer avenues amid interest rate uncertainties. Ultra Short Duration Funds grew 59% to ₹2,944 crore. Short Duration Funds jumped 474% to ₹10,277 crore from ₹1,790 crore in May.
Time of India
08-07-2025
- Business
- Time of India
NFO Insight: Quant Mutual Fund's equity saving fund opens for subscription. Should you add this in current market scenario?
Quant Mutual Fund 's latest new fund offer of Quant Equity Savings Fund is open for subscription and will close on July 21. The fund is an open-ended scheme investing in equity, arbitrage and debt. The investment objective of the scheme is to generate regular income by predominantly investing in arbitrage opportunities in the cash and derivatives segments of the equity markets and debt and money market instruments and to generate long-term capital appreciation through unhedged exposure to equity and equity-related instruments. Also Read | Mutual fund SIP guide: How to invest for the rest of 2025 Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » Fund house comment on fund launch The fund is an 'All-weather' scheme with moderate risk and a tax-efficient alternative for risk-averse investors, including first-time equity investors and investors migrating from fixed deposits, seeking lower volatility as compared to traditional equity funds and long-term wealth creation. The Quant Equity Savings Fund's equity portfolio will be managed as a flexi-cap investment strategy with a largecap bias for stability and limited exposure to mid/ small-cap stocks in a relatively stable environment. Secondly, the arbitrage and hedging strategy will protect the portfolio in the risk-averse phase. Live Events Lastly, the scheme's debt portfolio seeks to generate stable accrual income by investing in high-quality corporate bonds and government securities with low credit risk and dynamic duration management based on interest rate outlook. The scheme will be rebalanced across market cycles through 'Predictive Analytics' tools and the VLRT Framework with a focus on delivering superior risk-adjusted returns and lower drawdowns during market corrections through dynamic asset allocation and hedging. Quant Equity Savings Fund combines twin objectives of stability and growth to help risk-averse investors with their long-term wealth creation goal. What analysts say about the new offering Experts typically ask investors to avoid investing in NFOs unless they offer something unique. The uniqueness could be that the scheme is offering an investment option that is not available in the market or offering something extra to an existing option. Otherwise, the experts believe investors are better off with an existing scheme with a long performance record. This is because you have some historical data to base your investment decision. You don't have any data when it comes to new offerings. An expert is of the opinion that with equity valuations running above long-term averages after a strong market rally, equity savings funds—due to their lower equity exposure—are a suitable option for investors with low to moderate risk appetite. 'Considering that equity valuations are now above their historical long-term averages on the back of the strong rally in domestic equities in the last few months, the relatively lower equity exposure in equity savings vis a vis other hybrid categories make them a good choice in the current environment for investors with a low to moderate risk profile,' Vishal Dhawan, CEO, Plan Ahead Wealth Advisors, a wealth management firm in Mumbai told ETMutualFunds . Also Read | Jio BlackRock raises more than Rs 17,800 crore through debut new fund offer While commenting on should one choose equity saving funds now and what advantage do they offer in current market scenario compared to other hybrid funds, another expert said that equity savings fund is a category of hybrid fund which consists of equity, debt, and a portion allocated to arbitrage and the arbitrage component makes this category different from the other hybrid funds. Lastly, the exact asset allocation can easily be achieved through investing separately in pure-play equity, pure-play debt, and pure-play arbitrage funds. 'We do not believe it is essential to have this category in the portfolio, as investors lose visibility and control over their asset allocation. The only advantage it offers is some additional exposure to arbitrage, but that alone is not a strong enough reason to opt for this category. An arbitrage fund on a standalone basis can serve the purpose,' Shweta Rajani , Head - Mutual Funds , Anand Rathi Wealth Limited shared with ETMutualFunds. The performance of the new fund is benchmarked against Nifty Equity Savings TRI and will be managed by Sanjeev Sharma, Harshvardhan Bharatia, Ankit Pande, Varun Pattani , and Ayusha Kumbhat. The minimum investment amount is Rs 5,000 and in multiples of Re 1 thereafter. The fund will invest 65-90% in equity and equity-related Instruments, of which 25-80% in Hedged–Equity and Equity Derivatives and 10-40% in unhedged – equity and equity-related instruments. It will further allocate 10-35% in debt securities and money market instruments and government securities, 0-10% in exchange-traded commodity derivatives, and 0-10% in units issued by REITS and InVITs. Dhawan believes that Quants equity savings fund has a wide range of exposure possible between net equity and debt positions depending on the view on the markets, and thus the fund could be more dynamically managed and this could work well if the view on the markets goes right, but could work against the investor in case the view goes wrong. With refraining investors from investing in a NFO as they lack a track record, Shweta Rajani also does not consider this fund suitable for conservative investors who are looking for equity exposure with lower volatility because it does not allow investors full visibility or control over portfolio asset allocation and even though it may offer a degree of diversification, there is a high likelihood of portfolio overlap, particularly in the equity portion, which may not be adequately diversified. 'Equity Saving funds have a tendency to be skewed towards large-cap funds, as almost 68% of the Equity portion is invested in largecap, which may lead to significant overlap across schemes from the same category. Conservative investors should create two separate baskets, one for your short to medium-term goals, and another for long-term growth that helps beat inflation,' she added. Also Read | Mazagon Dock and Radico Khaitan among 19 stocks which are upgraded in H2 CY25 An ideal combination of 80:20 in equity and debt, constructed through separate funds, can achieve better outcomes is what Shweta Rajani recommends. The scheme has a dual objective of generating income by investing in debt and money market securities, as well as generating capital appreciation by investing in equity and equity-related securities. It will seek to reduce the volatility of returns by actively using equity derivatives as a hedge. Further, the scheme may invest in equity stocks in the cash market and take a short position in the futures market to avail arbitrage between the spot & futures markets and reduce net long equity exposure The fund is suitable for investors who are seeking to generate income by investing in arbitrage opportunities in the cash and derivatives segment of the equity market, fixed-income securities and capital appreciation through an exposure to equity and equity-related instruments and want regular income and capital appreciation. In the current calendar year so far, in January and February, the category received a total of Rs 492 crore. In March and April, there was a total outflow of Rs 703 crore, and lastly, May observed an inflow of Rs 569 crore. Witnessing the trend of inflow/outflow, the important thing to know is whether the category is gaining investors' attention again to which Dhawan replied that investor's attention to this category has tended to vary depending on the performance of equities. 'Considering that interest rates have also moved down sharply in the last few months, equity savings have benefited from both the debt and equity rally,' he added. In May 2025, the category received an inflow of Rs 569 crore against an inflow of Rs 849 crore in May 2024 registering a decline of 33% on yearly inflows. In CY2025 so far, the category received a total inflow of Rs 358 crore. The expert from Anand Rathi Wealth is of the view that in the last six months the inflows have been volatile with a couple of the months seeing positive flows and the inflows into this category can be attributed to several factors. 'One key reason could be the increased market volatility witnessed in recent months. With markets facing sharp moves, some investors may have viewed this diversified-looking category as a safer parking space for their funds, which may explain the inflows seen in May. However, this should not be mistaken for sustained investor conviction in this category,' she added. With investors considering the fund for investment, Dhawan said that a lumpsum is preferred in this category as equity allocations are controlled by the fund manager in any case, and the manager can dynamically move equity allocations as per his view therefore investors may need to temper their expectations of returns in this category as capital gains from interest rate movement downwards, and equity exposure may not repeat going forward. Continuing with a similar opinion, Shweta Rajani says that investors should avoid investing in this category as much as possible and should opt for SIPs or lump-sum investments in a well-diversified equity fund which provides exposure across market caps, sectors, and categories. Also Read | NPS equity funds offer single-digit returns in first half of 2025 She adds that investors with a small portfolio say up to Rs 1 lakh can explore this category as a starting point, though building a disciplined exposure to pure equity and debt funds separately is likely to yield better long-term results. According to the Sebi mandate, equity savings funds have a minimum investment in equity and equity-related instruments, which is 65% of total assets and a minimum investment in debt is 10% of total assets. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ alongwith your age, risk profile, and Twitter handle.
Time of India
07-07-2025
- Business
- Time of India
Jio BlackRock NFOs draw 67,000 retail investors, 90+ institutions
JioBlackRock Mutual Fund , which launched three new fund offers (NFOs), received an overwhelming response from retail investors, with over 67,000 individuals investing during the offer period. The fund also attracted investments from more than 90 institutional investors. According to the fund house, the participation from over 90 institutions reflects confidence in JioBlackRock Asset Management's value proposition, which combines data-driven investing with a digital-first approach. Also Read | Mutual fund SIP guide: How to invest for the rest of 2025 Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Kulkas yang belum Terjual dengan Harga Termurah (Lihat harga) Cari Sekarang JioBlackRock Mutual Fund announced that it has received total investments of Rs 17,800 crore (USD 2.1 billion) across three cash/debt mutual fund schemes — the JioBlackRock Overnight Fund , JioBlackRock Liquid Fund , and JioBlackRock Money Market Fund . The new fund offer (NFO) for these three schemes was open from June 30 to July 2. Live Events 'The overwhelming response to our first NFO from institutional and retail investors is a powerful endorsement of JioBlackRock Asset Management's innovative investment philosophy, risk management capabilities, and digital-first approach. This is a strong start to our journey towards becoming a transformative force in India's evolving investment landscape, catering to all types of investors,' said Sid Swaminathan, Managing Director and CEO, JioBlackRock Asset Management. The NFOs launched by the fund house were among the largest in India's cash/debt fund segment, placing JioBlackRock Asset Management among the top 15 asset management companies by Debt Assets Under Management in the country, out of 47 fund houses. These initial offerings provide a broad range of investors with options to manage various elements of cash and short-term allocations, helping them put idle funds to work while meeting different liquidity, risk, and return objectives. Short-duration debt and money market mutual funds offer a solution for investors seeking yield through lower-volatility, short-term instruments—without locking into long-term commitments. They provide flexibility to meet liquidity needs and are useful tools for portfolio builders, corporate treasuries, and retail investors alike, the fund house noted. JioBlackRock Asset Management has also announced an Account Creation Initiative aimed at enabling retail investors to benefit from its systematic investment approach and participate in upcoming fund offerings. Also Read | Mazagon Dock and Radico Khaitan among 19 stocks which are upgraded in H2 CY25 Designed to simplify onboarding, the initiative allows customers to create investment-ready accounts within minutes through the JioFinance app. All a customer needs to do is download and/or open the JioFinance app, tap the 'Invest' tab at the bottom of the homepage, and begin the account creation and investment journey. Last week, the fund house announced the launch of mutual fund access on the MyJio app via its social media platforms, calling it a new era of investing. On social platform X, the fund house posted: 'A new era of investing has begun on the MyJio app.'
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Business Standard
07-07-2025
- Business
- Business Standard
Jio BlackRock MF NFOs raise ₹17,800 crore, enters top 35 fund houses
Jio BlackRock Asset Management's three maiden mutual fund (MF) offerings—overnight, liquid and money market—garnered ₹17,800 crore in investments during the launch period, the company said in a release. As a result of the strong new fund offering (NFO) collection, Jio BlackRock is now among the top 35 fund houses by total assets under management (AUM) in the 47-player industry. 'The three-day NFO, which was launched on 30 June 2025, attracted investments from over 90 institutional investors, reflecting confidence in Jio BlackRock Asset Management's value proposition that combines data-driven investing and a digital-first approach,' it said. In addition to institutions, the NFOs garnered flows from over 67,000 retail investors. Jio BlackRock AMC, a 50:50 joint venture between Jio Financial Services (JFS) and BlackRock, had received final approval from the Securities and Exchange Board of India (Sebi) to start a mutual fund business only in May. The asset manager had first announced its plan to foray into the mutual fund space in July 2023. It received in-principle approval from Sebi for the MF business on 4 October 2024. The joint venture is headed by Sid Swaminathan as its Managing Director and Chief Executive Officer (CEO). He was previously Head of International Index Equity at BlackRock, where he was responsible for assets under management of $1.25 trillion. 'The overwhelming response to our first NFO from institutional and retail investors is a powerful endorsement of Jio BlackRock Asset Management's innovative investment philosophy, risk management capabilities and digital-first approach. This is a strong start to our journey towards becoming a transformative force in India's evolving investment landscape, catering to all types of investors,' said Swaminathan.
Time of India
30-06-2025
- Business
- Time of India
Best short duration mutual funds to invest in June 2025
Short duration mutual funds invest in treasury bills, commercial papers, certificates of deposits and so on to take care of their liquidity needs. They also invest in corporate bonds, government securities, among others. According to the Sebi mandate, short duration funds can invest in debt instruments which have maturity between one and three years. That means these schemes are meant for short-term investments of up to three years or more. They are somewhat in the middle when it comes to interest rate risk. They are riskier than liquid, ultra short term, and low duration funds. However, they have a lower risk compared to medium duration and long-term funds. Also Read | JioBlackRock Liquid Fund NFO to open on June 30. A safe bet for regular income? Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » These schemes invest in both short term bonds and very short term instruments. They invest in treasury bills, commercial papers, certificates of deposits and so on to take care of their liquidity needs. They also invest in corporate bonds, government securities, etc. In short, if you are looking for debt schemes to invest for one to three years without much volatility, you may check out short duration funds. However, make sure to choose schemes that do not take extra risk for extra returns. Safety should be your prime concern when it comes to debt investments. Live Events There is no change in the list. All recommended schemes have performed well. Follow our monthly updates to keep track of the performance of your schemes. Also Read | 11 NFOs to open for subscription this week, 3 belong to JioBlackRock Mutual Fund Best short duration funds to invest in June 2025 HDFC Short Term Debt Fund ICICI Prudential Short Term Fund Axis Short Term Fund Methodology: has employed the following parameters for shortlisting the debt mutual fund schemes. 1. Mean rolling returns: Rolled daily for the last three years. 2. Consistency in the last three years: Hurst Exponent, H is used for computing the consistency of a fund. The H exponent is a measure of randomness of NAV series of a fund. Funds with high H tend to exhibit low volatility compared to funds with low H. i)When H = 0.5, the series of returns is said to be a geometric Brownian time series. This type of time series is difficult to forecast. ii)When H <0.5, the series is said to be mean reverting. iii)When H>0.5, the series is said to be persistent. The larger the value of H, the stronger is the trend of the series 3. Downside risk: We have considered only the negative returns given by the mutual fund scheme for this measure. X =Returns below zero Y = Sum of all squares of X Z = Y/number of days taken for computing the ratio Downside risk = Square root of Z 4. Outperformance: Fund Return – Benchmark return. Rolling returns rolled daily is used for computing the return of the fund and the benchmark and subsequently the Active return of the fund. Asset size: For debt funds, the threshold asset size is Rs 50 crore
