Strong investor interest drives value mutual fund inflows to ₹22,757 cr in 2024

Santosh Joseph, Co-founder and CEO of Germinate Investor Services, noted that value mutual funds saw a notable surge in inflows, largely due to strong past performance and a resurgence in key sectors.

After a period of underperformance in 2022, value funds rebounded in 2023 and continued to deliver impressive returns in 2024. This strong performance, coupled with markets reaching new highs, drew investors seeking undervalued sectors that were beginning to show substantial growth potential, he added.

The sectors that fueled the value fund rally in 2023 and 2024, including metals, real estate, construction, capital goods, PSUs, and manufacturing, are expected to remain robust, supported by government infrastructure spending and industrial expansion.