The Indian stock markets have been on fire gaining around 25 per cent since January. Much of these has been fuelled by buying from domestic mutual funds with Maharashtra leading the way in terms of the average assets managed by the mutual fund industry, showed data from the Association of Mutual Funds of India (AMFI).
Maharashtra, one of the richest states in the country, accounted for Rs 9.23 lakh crore of assets managed by mutual fund houses in September 2017. That is close to half of the about Rs 21 lakh crore averaged assets under management (AUM) during the three months ended September. Maharashtra was followed by Delhi which was the origin of assets worth Rs 2.12 lakh crore that is being managed by the mutual fund industry. Karnataka with Rs 1.56 lakh crore, Gujarat with Rs 1.36 lakh crore and West Bengal with Rs 1.12 lakh crore make up the top five. Haryana with Rs 1.03 lakh crore was the only other state with more than Rs 1 lakh crore of AUM.
The percentage of equity assets in Maharashtra AUM was 29 per cent, an improvement from 25 per cent seven months earlier, reflecting the rise in stock prices and also the continued inflows into the stock market. Many other top five states also saw an increase in equity assets proportion. In Gujarat, for instance, it rose from 42 per cent seven months earlier to 47 per cent by the end of September. Delhi (36 per cent), West Bengal (43 per cent) and Karnataka (37 per cent) also had significant proportion of equity assets.
Mutual fund penetration as measured by per capital asset under management was the highest in Delhi. It had Rs 1.26 lakh AUM per capita at the end of September compared to Rs 1.06 lakh seven months ago. It was followed by Goa with Rs 1.05 lakh and Maharashtra with Rs 82,200 AUM per capita.