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raghni4949's review
Investment Sector: Funds Submitted by Raghni4949 
, Student
3 months ago Add Tag |
Mutual Funds have returned to the stock market as net investors in April 2008. The market’s big slump this year saw the big-league investors shying away from the market—they sold stocks worth Rs 1,971.3 crore in March 2008.
Some retail investors were reported to have redeemed their units, thus, putting pressure on mutual funds to sell stocks in the market. Mutual funds managers were selling in the stock market to get into cash. Funds may have been selling to get into cash. Many funds had increased their cash levels to 10 per cent.
Fund managers were getting into cash to protect their net asset values from getting eroded. Lately, however, fund managers have begun finding their way around the market. Last month, they purchased shares worth Rs 19.1 crore. The investments may not appear significant considering that in January 2008, mutual funds poured in Rs 7,702.05 crore into equities.
The next few months could be significant: mutual funds are likely to increase their investment ante and deploy their dormant cash. Stay tuned.
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