Mutual Fund AUM-to-Deposit Ratio Rises to 32.6% in January, Reaches One-Third of Bank Deposits

Written by: Team Angel OneUpdated on: 18 Feb 2026, 4:25 pm IST

Mutual fund AUM reached 32.6% of bank deposits in January, compared with 12.6% in March 2015, nearly tripled in a decade.

Mutual Fund AUM-to-Deposit Ratio Rises to 32.6% in January, Reaches One-Third of Bank Deposits

Mutual Fund Assets Under Management (AUM) were equivalent to about 32.6% of total bank deposits in January 2026, according to the Mutual Fund Industry Dashboard released by Franklin Templeton.

The figure means mutual fund assets now equal roughly one-third of the banking system’s deposit base. A year earlier, in January 2025, the ratio stood at 30.4%.

10-Year Comparison

As per the report, the change is sharper when viewed over a longer period. In March 2015, mutual fund AUM accounted for 12.6% of bank deposits.

By March 2019, the ratio had risen to 19.5%. Over the past decade, the share of mutual funds relative to deposits has increased nearly threefold.

Decline in 2020

The upward trend did not continue without interruption. During the early phase of the pandemic, the ratio fell to 16.4% in March 2020.

Market volatility and investor withdrawals during that period contributed to the decline from the levels seen in 2019.

Movement After the Dip

The ratio recovered in the following years. It rose to 22.8% by March 2022, before easing to 21.8% in March 2023.

Since then, the number has moved higher again, reaching 32.6% in January 2026, the highest level recorded in the available data.

Conclusion

Data over the past decade shows the mutual fund industry has grown faster than bank deposits in relative terms. Despite short-term declines during periods of market stress, the AUM-to-deposit ratio has trended upward, reaching nearly one-third as of January 2026.

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 are subject to market risks, read all the related documents carefully before investing.

Published on: Feb 18, 2026, 10:55 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.

Know More