Summary
Large-cap funds saw their first outflow in 15 months in November, accounting for just one-fifth of index funds’ year-to-date outflows, according to data from the Association of Mutual Funds of India (AMFI).
ET Intelligence Group: In the near term, the speculation is that investors are going to switch to switching trades and money will shift from large-cap active funds to index funds. Switching business among Indian savers is picking up fast as higher valuations keep them on the downside, which will mute the response for the next 12 months. Inflows of Rs 8,601 crore into index funds were the highest among them in November.
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