Equity Mutual Funds Assets Jump 17% Despite Market Volatility, Added 71 Lakh New Investors in a Year: Franklin Templeton India Mutual Fund

Written by: Team Angel OneUpdated on: 22 May 2026, 1:25 pm IST
Equity Mutual Fund assets rose by 17% amid market corrections, adding 71 lakh new investors in the past year.
Equity Mutual Funds Assets
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Equity mutual fund (MF) assets have experienced significant growth, increasing by 17% despite volatile market conditions.  

This rise in asset value is complemented by 71 lakh new investors joining in the past year, as reported by Franklin Templeton India Mutual Fund. 

Significant Increase in Equity Mutual Fund Assets 

The past year saw equity mutual fund assets rise from ₹41.9 lakh crore to ₹49.2 lakh crore. The proportion of equity assets in total mutual fund assets grew slightly to 60.1% in April 2026, compared to 59.9% the previous year.  

The substantial growth indicates increased investor confidence in equity funds even amidst market fluctuations. 

Strong Performance of Flexicap Funds 

Flexicap funds have led the net sales in the last 12 months, drawing in over ₹10,000 crore in April 2026 alone.  

With ₹93,000 crore in inflows over the past 12 months, flexicap funds have shown resilience and attractiveness despite market volatility.  

Other equity categories also saw positive net sales during April 2026. 

Growth in Investor Numbers 

The mutual fund industry's investor base expanded significantly, reaching 6.14 crore by March 2026, with 4.71 lakh investors being added that month.  

Overall, the industry added 71 lakh new investors over the past year, compared to the addition of 69 lakh in the corresponding period previously, reflecting a growing interest among retail investors. 

Increased Systematic Investment Plan (SIP) Flows 

Monthly SIP flows have doubled in less than 3 years, reaching ₹31,115 crore in April 2026, up 17% from the previous year's ₹26,632 crore.  

SIP accounts increased by 17.5%, bringing the total to 10.44 crore in April 2026. Despite the volatile returns, SIP accounts maintained robust growth with a significant portion of these investments enjoying a holding period of over 5 years. 

Read More: SEBI Proposes Payroll-Linked Mutual Fund SIPs and Unit Donations! 

Outperforming Alternatives 

Domestic institutional investors recorded net inflows of ₹8.7 lakh crore over the last 12 months concluding April 2026, showcasing a stronger performance compared to FPIs, which saw net outflows of ₹4.1 lakh crore.  

The share of passive AUM also grew, standing at ₹14.74 lakh crore in April 2026 from ₹11.67 lakh crore a year ago, marking a 26% growth. 

Conclusion 

The equity mutual fund sector demonstrated remarkable resilience and appeal over the past year, achieving a 17% increase in assets despite market corrections. The rise in SIP flows, investor numbers, and the strong performance of flexicap funds underscores the dynamic growth of the mutual fund industry. 

Read stock market news in Hindi. Head to Angel One's share market news in Hindi for comprehensive coverage. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or 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 are subject to market risks, read all scheme-related documents carefully.

Published on: May 22, 2026, 7:53 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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