Hybrid long-short funds accounted for 70% of the industry’s total SIF AUM at the end of May, with assets of ₹9,709 crore. Equity-oriented strategies contributed 28% of total AUM, amounting to ₹3,843 crore.
The report showed that total SIF inflows increased 15% month-on-month to ₹1,396 crore in May from ₹1,219 crore in April. Since October 2024, cumulative inflows into SIFs have reached ₹13,625 crore.
Hybrid long-short funds remained the largest contributor to inflows, attracting ₹707 crore during May, up 8% from ₹651 crore in the previous month. Since October 2024, these strategies have garnered cumulative inflows of ₹9,526 crore, the highest among all SIF categories.
Meanwhile, equity-oriented strategies recorded stronger growth in monthly inflows. Investments into these funds rose 36% month-on-month to ₹652 crore in May from ₹478 crore in April. Cumulative inflows into equity-oriented strategies stood at ₹3,842 crore since October 2024.
The report also highlighted differences in investor ticket sizes across strategies. Hybrid long-short funds reported an average folio size of ₹33.9 lakh, compared with ₹14.1 lakh for equity-oriented strategies. Across the SIF industry, the average folio size stood at ₹24.3 lakh as of May-end.
The broader mutual fund industry recorded steady growth during the month. Total mutual fund AUM stood at ₹81.6 lakh crore, while net inflows into active equity and hybrid schemes reached ₹33,468 crore.
Active equity mutual funds received gross inflows of ₹57,604 crore during May, while systematic investment plan (SIP) contributions remained robust at ₹30,954 crore. SIP assets rose to ₹17.12 lakh crore.
Hybrid mutual fund schemes, excluding arbitrage funds, attracted net inflows of ₹4,862 crore during the month.
In contrast, Gold ETFs witnessed net outflows of ₹725 crore in May, reversing the strong inflow trend seen earlier in the year. Active equity funds recorded net inflows of ₹22,908 crore.
According to the ValueMetrics report, sustained SIP contributions and continued inflows into equity and hybrid products indicate ongoing retail investor participation despite market volatility.