In September and October, the BSE Sensex surged 7.5 percent and BSE Midcap index rallied more than 10 percent.
The market gathered steam towards the end of September and the bull run continued well into October after corporate tax rate by 10 percent.
The rally was largely backed by foreign institutional investor (FII) inflows of Rs 8,596 crore in October against a net outflow in the previous five months, while domestic institutional investor (DII) inflows dipped to Rs 4,758.48 crore against Rs 12,491 crore in the previous month.
As per AMFI data, the net equity mutual fund inflow in October declined to Rs 6,015 crore, down 7.3 percent from Rs 6,489 crore in the previous month.
The equity mutual fund inflow was largely driven by multicap, largecap and midcap funds. Inflow through sectoral/thematic funds turned positive, but reduced through smallcap funds while Value/Contra funds saw net outflow.
Equity Exchange Traded Fund (ETF) inflow remained strong at Rs 5,906.1 crore, nearly six times more than Rs 1,033 crore recorded in September.
In September and October, the BSE Sensex surged 7.5 percent and the BSE Midcap index rallied more than 10 percent.
The inflow through systematic investment plan (SIP) in equity remained steady at Rs 8,245 crore in October against Rs 8,263 crore the previous month.
The liquid funds in income/debt oriented schemes were back in action and saw inflow at Rs 93,203 crore in October against an outflow of Rs 1.4 lakh crore in September.
Under hybrid schemes, the balanced hybrid fund/aggressive hybrid fund continued to see outflow in October also, at Rs 1,974.3 crore. The previous month has seen outflows at Rs 1,931 crore.Credit-risk outflow narrowed to Rs 1,382 crore in October from Rs 2,351 crore in the previous month.Not sure which mutual funds to buy? Download moneycontrol transact app to get personalised investment recommendations.