The 44-member mutual fund industry's AUM surged by 13% in 2020, while the growth was higher at 16%last year. Further, the "Mutual Fund Sahi Hai" campaign also helped the industry in channelizing individual savings into mutual funds, Venkatesh said. Since July, redemptions to the tune of ₹22,850 crore across all categories of equity mutual funds have been seen. According to Mudra Portfolio Managers' Kohli, investors are getting inclined towards debt mutual funds due to low-interest rates in fixed deposits. Within debt funds, credit risk funds faced outflows in the April-June period as a fallout of risk aversion from the pandemic and the Franklin Templeton episode.

Source: Mint December 27, 2020 07:41 UTC