185 new mutual fund offers raise an impressive ₹66,000 crore in fiscal year 2024 amid the bull run effect

In fiscal year 2023-24, the stock markets experienced a significant growth, yielding a remarkable return of 30 percent to the Nifty50 benchmark index. This positive performance attracted a surge of investors towards stocks and mutual funds.

According to data from the Association of Mutual Funds in India (AMFI), a total of 185 new fund offers (NFOs) were launched in fiscal year 2024, raising a substantial amount of ₹66,364 crore. These NFOs comprised both open-ended and close-ended schemes, with 34 percent of the total funds being raised between January and March.

The month of February saw the highest number of NFO launches, with 22 schemes raising ₹11,720 crore, followed by December and March. Interestingly, index and hybrid mutual funds were particularly popular among fund houses, with 35 index funds and 17 hybrid funds being launched.

Additionally, the total inflow into mutual fund schemes through systematic investment plans (SIPs) reached an all-time high of ₹1.99 lakh crore, marking a 28 percent increase from the previous financial year. SIP contribution in March 2024 peaked at ₹19,270.96 crore.

Despite the surge in SIP contributions and new fund launches, the mutual fund industry’s net assets under management (AUM) experienced a slight decline of 2 percent, totaling ₹53,40,194 crore by the end of March 2024. This data signifies the dynamic growth and trends within the mutual fund industry during the fiscal year.