The sell-off in the stock market has dealt a heavy blow to the mutual fund industry with assets of retail investors in various funds plummeting by Rs 2.33 lakh crore and inflows into small-cap and mid-cap schemes plunging by up to 34.9 per cent in the month of February.
Highlighting the vulnerability of mutual fund investments to market volatility, retail assets under management (AUM), including equity, hybrid and solution-oriented schemes, plummeted to Rs 36,44,112 crore in February from Rs 38,77,595 crore in January this year, according to figures released by the Association of Mutual Funds in India (AMFI).