AMCs with Highest Cash Holdings in March 2025 Revealed – PPFAS, Motilal Oswal, and Quant Lead

In March 2025, significant variations were observed in the cash allocations held by mutual fund houses. Among the top 20 funds, PPFAS Mutual Fund reported the highest cash holding at 21.9%, followed by Motilal Oswal Mutual Fund at 17.8% and Quant Mutual Fund at 10.3%. 

On the lower end of the spectrum, Mirae Asset Mutual Fund maintained a minimal cash position at 1.3%, while Kotak Mahindra Mutual Fund held 2.5%. 

Rise in Equity Value Across Major Fund Houses

According to the same report, the total equity value of the top 20 asset management companies (AMCs) experienced a 7.5% month-on-month (MoM) rise, contributing to a 23.5% year-on-year (YoY) increase in March 2025. This growth reflects the broader upward trend in equity markets during the period.

Among the top 10 AMCs, the highest MoM gains in equity value were recorded by:

• Nippon India Mutual Fund – 9.6%

• Axis Mutual Fund – 8.3%

• Kotak Mahindra Mutual Fund – 8%

• DSP Mutual Fund – 7.8%

• UTI Mutual Fund – 7.5%

These figures point to a healthy increase in investor interest and potentially favourable market conditions in March.

Overview of Mutual Fund Industry Performance in FY25

The Indian mutual fund industry concluded FY25 on a strong note, reporting a 23% YoY increase in total assets under management (AUM). AUM rose by approximately ₹12.3 lakh crore, bringing the total to ₹65.7 lakh crore as of March 2025.

This robust growth was supported by multiple fund categories, with equity funds leading the way. The category-wise contribution to this AUM expansion was as follows:

• Equity Funds – ₹66,600 crore

• Liquid Funds – ₹15,800 crore

• Other ETFs – ₹11,560 crore

• Balanced Funds – ₹10,960 crore

• Income Funds – ₹9,330 crore

This diversification highlights broad-based participation across various investment strategies.

Conclusion

The data from March 2025 offers a glimpse into the asset allocation strategies of leading mutual fund houses, particularly regarding cash holdings. While some fund managers opted for higher liquidity, possibly anticipating market opportunities or volatility, others continued to maintain aggressive equity positions. Meanwhile, the growth in AUM underscores continued investor confidence in mutual fund products, with equity and liquid funds driving momentum into the new fiscal year.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund investments in the securities market are subject to market risks, read all the related documents carefully before investing.