The Indian mutual fund industry continued to witness strong inflows in January 2025, with net equity inflows standing at ₹39,669.6 crore, slightly lower than ₹41,136 crore recorded in December 2024. The data reflects continued investor confidence in equity schemes, particularly large-cap, small-cap, and mid-cap funds.

Equity Fund Flows

  • Large-cap fund inflows surged to ₹3,063.3 crore, up from ₹2,011 crore in the previous month.
  • Small-cap funds attracted ₹5,721 crore, rising from ₹4,668 crore in December.
  • Mid-cap fund inflows stood at ₹5,148 crore, marginally higher than ₹5,093 crore in December.

Hybrid and Debt Fund Performance

  • Hybrid funds witnessed a significant jump, recording ₹8,767.5 crore in inflows compared to ₹4,370 crore in December.
  • Liquid funds saw a strong revival, posting an inflow of ₹91,593 crore, compared to a massive ₹66,532 crore outflow in December.
  • Corporate bond fund outflows moderated, reducing to ₹217.4 crore from ₹820 crore in December.
  • Credit risk funds also saw lower outflows, standing at ₹294 crore, compared to ₹356 crore in December.

ETF and Sectoral/Thematic Funds

  • ETF outflows slowed, with ₹1,172 crore exiting in January, compared to ₹4,558.3 crore outflows in December.
  • Sectoral/thematic funds saw a decline in inflows, registering ₹9,016.6 crore, down from ₹15,331.5 crore in the previous month.

ELSS and NFO Performance

  • ELSS funds reported strong inflows of ₹797 crore, up significantly from ₹188 crore in December, as tax-saving season gained momentum.
  • New fund offers (NFOs) garnered ₹4,544 crore, marking a sharp decline from ₹13,852 crore in December.

Overall Market Position

The total assets under management (AUM) of the mutual fund industry increased marginally to ₹67.25 lakh crore, up from ₹66.93 lakh crore in December. The growth reflects steady investor participation across equity and debt categories despite sectoral fund fluctuations.

Disclaimer: The above article is for informational purposes only and does not constitute financial advice. Investors are advised to consult their financial advisors before making any investment decisions.