Equity Mutual Fund Inflows Fall 19% in October to ₹24,671 Crore

Equity mutual fund inflows declined 19% month-on-month to ₹24,671 crore in October 2025, compared with ₹30,405 crore in September, according to data released by the Association of Mutual Funds in India (AMFI). Despite the moderation in equity flows, the mutual fund industry’s total assets under management (AUM) rose to a record ₹79.87 lakh crore, up from ₹75.61 lakh crore in the previous month.

Equity Inflows Ease Across Segments

Most equity fund categories witnessed lower inflows in October. Large-cap funds saw net inflows of ₹972 crore, down from ₹2,319 crore in September. Mid-cap funds recorded inflows of ₹3,807 crore, compared with ₹5,085 crore a month earlier, while small-cap funds attracted ₹3,476 crore, lower than September’s ₹4,363 crore.

Sectoral and thematic funds, however, maintained investor interest, with inflows increasing to ₹1,366 crore from ₹1,221 crore month-on-month. In contrast, equity-linked savings schemes (ELSS) saw net outflows of ₹665 crore, widening from ₹308 crore in September.

Debt Funds See Sharp Rebound

Debt-oriented mutual funds witnessed a significant turnaround in October, recording net inflows of ₹1.59 lakh crore compared with outflows of ₹1.01 lakh crore in September. The surge was primarily driven by renewed liquidity in the short-term segment and strong institutional participation.

Liquid funds led the category with inflows of ₹89,375 crore, followed by money market funds at ₹17,916 crore. Ultra-short duration funds and overnight funds also saw strong traction, attracting ₹15,067 crore and ₹24,051 crore respectively.

Hybrid and Passive Funds Remain Active

Hybrid mutual fund schemes continued to record healthy participation, with inflows rising sharply to ₹14,156 crore in October from ₹9,397 crore in the previous month. The increase was led by balanced advantage and dynamic allocation schemes, which tend to benefit during volatile equity market phases.

Exchange-traded funds (ETFs) saw inflows of ₹6,182 crore, slightly lower than September’s ₹8,151 crore. Gold ETFs attracted ₹7,743 crore, down marginally from ₹8,363 crore, as investors booked partial profits following a surge in gold prices.

AUM at Record High Despite Moderation in Equity Flows

The mutual fund industry’s total AUM rose to an all-time high of ₹79.87 lakh crore in October, supported by strong inflows in debt and hybrid categories along with steady SIP contributions.

While equity inflows moderated, sustained retail participation and new fund mobilisations helped maintain overall growth momentum. The data highlights continued investor confidence in mutual funds as a preferred long-term investment option, even as market conditions remain uncertain.

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Conclusion

Equity mutual fund inflows slowed in October amid profit-taking and short-term volatility, but robust debt and hybrid fund participation lifted total industry AUM to a record high. With continued inflows through SIPs, expanding retail participation, and rising diversification across categories, the mutual fund industry remains on a stable growth path heading into the year’s final quarter.

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