After the sharp rise in assets under management recorded in August 2006, the mutual fund industry has seen an outflow of funds during Sept 2006 even as the equity markets continued to rally. Total assets, excluding fund of funds, declined to Rs2,91,200 crore as of end September, from Rs3,06,782 crore as of August end.
The decline in assets has been mostly attributed to large scale redemptions from debt schemes. However, total assets under management for end September is still higher than end of July 2006, which was at Rs2,88,501 crore.
UTI Mutual remains the top fund house in the country, having ended Prudential ICICI's brief reign of three months at the top in August 2006. Prudential ICICI continues to occupy the second spot with Reliance MF close on its heels.
Most fund houses saw net outflows from their funds and