How much in, How much out | Value Research Funds that offered poor downside protection in 2011 saw heavy outflows, while those which preserved assets saw more money going into them in 2012...
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How much in, How much out

Funds that offered poor downside protection in 2011 saw heavy outflows, while those which preserved assets saw more money going into them in 2012...

The Sensex ended 2012 with 26 per cent gains and equity funds witnessed a net outflow of Rs 14,547 crore as investors booked profit and exited. Many big schemes which failed to protect investor interest in 2011 compared to peers saw heavy outflow while funds that protected investor interest relatively that year saw more money going into them in 2012.

To arrive at this inference, we took the quarterly average assets under management of each of the funds. We separated the assets based on dividend and growth option. We then multiplied it with the returns of the fund and after that subtracted it from the average AUM. The difference indicated the inflows and outflows from the fund for the quarter. The exercise was repeated for all four quarters to arrive at the annual inflow and outflow in funds.




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