Investors pulled out more than Rs 1.5 lakh crore from mutual fund schemes in September with liquid funds contributing the most to such outflows amid persisting weak confidence in debt-oriented plans.
This comes after a net inflow of Rs 1.02 lakh crore in August, according to data by the Association of Mutual Funds in India (Amfi).
In recent months, the mutual fund industry has been grappling with redemption pressure in the wake of debt crises at various groups, including IL&FS, Essel and Dewan Housing Finance Corporation (DHFL).
According to the data, mutual fund schemes witnessed a redemption of Rs 1.52 lakh crore last month.
The massive redemption could be attributed to debt-oriented schemes, which saw an outflow of Rs 1.58 lakh crore.
Among debt-oriented schemes, liquid funds -- with investments in cash assets such as treasury bills, certificates of deposit and commercial paper for shorter horizon --- saw an outflow of Rs 1.41 lakh crore.
