TRENDS IN MUTUAL FUNDS RESOURCE MOBILISATION

During 1998-99 the mutual funds on gross basis mobilised Rs 22710.73 crore without adjustment of repurchase / redemption as against Rs 15171 crore in 1997-98. However, it is important to note that in case of open-ended schemes, there is a continuous sale and repurchase of units by mutual funds. Also, there may be redemption of some of the schemes. Consequently, resources mobilised by the mutual funds would be lower than the gross funds to the extent of redemption and repurchases. As such, after adjustment of repurchases and redemptions, there was an outflow of funds of Rs 949.67 crore during 1998-99. Further analysis of data shows that while there was a net inflow of funds of Rs 1452.70 crore and Rs 335.16 crore in case of private sector and public sector mutual funds, there was a net outflow of Rs 2737.53 crore in case of the UTI - the largest mutual fund. Details are given in the following table.
 
 
Private Sector MFs
Public Sector MFs
UTI
Grand

Total

Open 

end 

Close 

end 

Total Open 

end 

Close 

end 

Total Open 

end

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Total
Mobilization of Funds
7769.59
76.91
7846.50
364.15
1307.19
1671.34
6820.23
6372.66
13192.89
22710.73
Repur-chase Amount
1101.93
36.73
1138.66
291.85
404.16
696.01
9773.41
546.26
10319.67
12154.34
Redemption Amount
5180.98
74.16
5255.14
0.27
639.90
640.17
0.00
5610.75
5610.75
11506.06
Net In/ Outflow of funds
1486.77
-33.98
1452.70
72.03
263.13
335.16
-2953.18
215.65
-2737.53
-949.67



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