Kotak Mutual Fund Blames Plunge In Balanced Funds For Fall In MF Inflows Nilesh Shah, the Managing Director of Kotak Mutual Fund, said plunge in balanced funds is the reason for the fall in MF inflows, in a recent interview. The MD of Kotak M (Asset Management Company) told CNBC TV-18 that there has been a crash on balanced funds and heavy inflows, and the progress in MF inflows is limited as the market becomes cheaper. The general asset base grew to 23.40 lakh crore Rupees though the mutual funds inflow was affected in June. Mutual Fund segment experts say that the Systematic Investment Plans (SIPs) have been steady while the balanced funds are declining due to fall in investments. Shah expects the MF inflows to grow on a yearly basis and balanced advantage funds to shift money from debt to equity market on a segmental basis. The Kotak Mutual Fund’s MD also believes that the market shall be constrained going forward, based on rising crude prices and interest rates, based on report from MoneyControl. The upside of MF market is capped due to the factors which includes oil, high real interest rates, credit squeeze, and 2019 general election, said Shah, in an interview with the Economic Times. He also added that the downside is also limited due to performance improvement of corporates. Shah also added that the path of the market will not alter and it will be within a relatively tight range unless one of the above said factors changes. He said that the domestic inflow is not coming to an end even though flows into mutual funds have slowed down. He also added that it is quite natural for the MF inflows to fall during the holiday season April-June. In March, there was slowdown in equity flows while in April-May there was slowdown in balance funds flows. However, pure equity funds and SIP numbers are still improving at a reasonable speed, said Shah of Kotak Mutual Fund. The post Kotak Mutual Fund Blames Plunge In Balanced Funds For Fall In MF Inflows appeared first on OWLT Market.

Nilesh Shah, the Managing Director of Kotak Mutual Fund, said plunge in balanced funds is the reason for the fall in MF inflows, in a recent interview.

The MD of Kotak M (Asset Management Company) told CNBC TV-18 that there has been a crash on balanced funds and heavy inflows, and the progress in MF inflows is limited as the market becomes cheaper.

The general asset base grew to 23.40 lakh crore Rupees though the mutual funds inflow was affected in June.

Mutual Fund segment experts say that the Systematic Investment Plans (SIPs) have been steady while the balanced funds are declining due to fall in investments.

Shah expects the MF inflows to grow on a yearly basis and balanced advantage funds to shift money from debt to equity market on a segmental basis.

The Kotak Mutual Fund’s MD also believes that the market shall be constrained going forward, based on rising crude prices and interest rates, based on report from MoneyControl.

The upside of MF market is capped due to the factors which includes oil, high real interest rates, credit squeeze, and 2019 general election, said Shah, in an interview with the Economic Times. He also added that the downside is also limited due to performance improvement of corporates.

Shah also added that the path of the market will not alter and it will be within a relatively tight range unless one of the above said factors changes.

He said that the domestic inflow is not coming to an end even though flows into mutual funds have slowed down. He also added that it is quite natural for the MF inflows to fall during the holiday season April-June.

In March, there was slowdown in equity flows while in April-May there was slowdown in balance funds flows. However, pure equity funds and SIP numbers are still improving at a reasonable speed, said Shah of Kotak Mutual Fund.

The post Kotak Mutual Fund Blames Plunge In Balanced Funds For Fall In MF Inflows appeared first on OWLT Market.

from OWLT Market https://ift.tt/2NLXmw5
via IFTTT