Continuing redemptions and a drop in sales led to a net outflow of Rs1,525 crore for the month of November 2012
From June 2012 to November 2012, over Rs10,000 crore has flowed out of equity mutual funds. Though the quantum of redemptions was much lower than that of the previous three months, the new inflows through sales could not balance the outflows. The total equity assets under management, in the month of November, increased by 3.5% to Rs1.90 lakh crore, whereas, the Sensex moved up by 4.5% over the same period. For the calendar year, equity schemes witnessed just two months of positive net inflows. There have been just seven new fund offers (NFOs) launched during the last 11 months. The latest NFO—Goldman Sachs India Equity Fund—was able to amass just Rs67 crore in the last month.
Sales for the past month declined by 12% year-on-year to Rs2,777 crore from Rs3,173 crore last November. This is the fourth month in a row where sales have declined continuously month-on-month. Except, for a peak in sales in February and March (above Rs3,500 crore), sales, for other months, varied between Rs2,900 crore to Rs3,350 crore.
Mutual fund companies have tried promoting systematic investment plans aggressively. Some fund houses have launched variations of SIPs as well like—Flex STP, Power Sip, etc. (Read more: Systematic investment plans: Sipping flexibly) However, equity sales have not shown any improvement with the introduction of these new plans. In fact, according to a recent study by Computer Age Management Services (CAMS), a large portion of SIPs were withdrawn before the completion of their tenure. (Read: Mutual fund SIPs decline further. Who is to blame?) This implies that no efforts have been taken to retain SIP investors by educating them of the benefits of continuing with the plan.
Net SIP registrations have been negative each month from April 2012 to September 2012. The SIPs ceased or expired has been a greater number than new SIP registrations leading to a decline of nearly 3.09 lakh SIP accounts despite the fact that the number of new SIP registrations was showing a rising trend from June 2012 to September 2012. And now with the consolidation of plans according to the new regulations, the SIP accounts are expected to decline further.
The accused said that they collected unsuspecting SBI customers' ATM card details, including passwords, by visiting ATM counters in Itanagar
Itanagar: A racket allegedly involved in unauthorised withdrawal of cash from State Bank of India (SBI) customers' accounts through online transaction has been busted by the police here and four persons were arrested from Assam's Barpeta district in this connection, reports PTI.
The police arrested Mukibul Islam, Habib Ahmed, Razzaqul Islam and Rafikul Islam on Sunday, two months after the arrest of Shariful Islam, another accused, on 25th September, capital SP Surinder Kumar said.
A laptop, a mobile handset and two memory cards were seized from the house of one of the arrested, the SP said.
Kumar said that the arrests followed several complaints of unauthorised withdrawal of money to the police a few months ago from SBI customers.
The accused said that they collected unsuspecting SBI customers' ATM card details, including passwords, by visiting ATM counters in Itanagar.
After collecting the ATM card details, they used to sent an SMS containing the data to their associates at Barpeta who in turn made withdrawals by ordering electronic goods through various online payment gateways.
The accused sold the electronic goods at discount from their shops at Barpeta.
Till now Rs12 lakh from around 20 SBI customers have been looted, the SP said.
The arrested were produced before the judicial magistrate yesterday, who remanded them to seven days police custody.
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