As of March 31, 2023, the total number of open-ended debt-oriented schemes was 315, with more than 71.59 lakh folios and around Rs 9.09 lakh crore investments.
Asset management companies (AMCs) have mobilised a whopping Rs 10.15 lakh crore and launched 22 new schemes across various mutual fund categories in March 2023, the industry body the Association of Mutual Funds in India (AMFI) said in its monthly report.
The industry launched as many as 22 new plans across various categories, with index funds taking the lead with 12 fresh schemes, highlighting investors’ increasing faith in indexes amid the interest rate hikes and new government rules that affected the momentum of some schemes. As per the new rules, the indexation benefits no longer apply for long-duration schemes from FY2023-24.
As of March 31, 2023, the total number of open-ended debt-oriented schemes was 315, with more than 71.59 lakh folios and around Rs 9.09 lakh crore investments. Likewise, the number of equity-oriented growth schemes was 390, with around 9.82 crore folios and about Rs 38,640 crore investments.
In hybrid plans, there were 138 schemes, with 1.21 crore folios and about Rs 12,239 crore inflows. In addition, the number of close-ended debt and equity-oriented growth schemes, like the equity-linked savings schemes (ELSS), was 165 in total, with 1.67 lakh and 3.57 lakh folios, respectively.
New Funds In March
Some index funds launched in March include Aditya Birla Sun Life CRISIL IBX Gilt Apr 2028 Index Fund, Aditya Birla Sun Life Nifty SDL Sep 2027 Index Fund, BARODA BNP PARIBAS NIFTY SDL December 2028 Index Fund; HDFC NIFTY G-Sec Apr 2029 Index Fund, HDFC NIFTY G-Sec Jun 2036 Index Fund, HDFC NIFTY SDL Plus G-Sec Jun 2027 40:60 Index Fund, and HSBC CRISIL IBX Gilt June 2027 Index Fund.
In exchange-traded funds (ETFs), Aditya Birla Sun Life CRISIL Overnight Fund AI Index ETF, Axis S&P BSE Sensex ETF, ICICI Prudential Nifty PSU Bank ETF, and Mirae Asset Nifty 100 Volatility 30 ETF, were among those launched in March.
Likewise, in fixed-term plans, funds launched in March include Aditya Birla Sun Life Fixed Term Plan-Series UF (180 days) and Series UJ (1,110 days), Axis Fixed Term Plan Series 112 (1,143 Days), Series 113 (1,228 days) and Series 114 (83 days), HDFC FMP 1269D March 2023-Series 47, and ICICI Prudential Fixed Maturity Plan Series 88 – 1,303 days Plan S and Series 88 - Plan U.
The government has made several changes in the tax rules for FY2023-24, which may affect people’s investment decisions and the choice of schemes. For instance, the Reserve Bank of India’s rising repo rates and the corresponding hikes in the bank deposit rates may encourage some investors to explore debt schemes as the growth-focused equity space will likely see short- to medium-term volatility.