The Association of Mutual Funds in India has recorded that actively managed equity funds have recorded net inflows of ₹40,450 crore during the month of March 2026. This is the highest since July 2025, compared to ₹25,978 crore in February. Besides, asset management companies also saw a marginal decline in cash levels, indicating stronger equity deployment and rising risk appetite among fund managers.
As per data from the Association of Mutual Funds in India, AMCs have increased exposure to healthcare sector by 47 basis points, followed by IT (36 bps) and telecom and media (24 bps). Utilities also saw a 22 bps increase, indicating a tilt toward defensive and structural growth sectors.
In contrast, financials saw the steepest reduction at 99 bps. Automobiles and ancillary stocks declined by 40 bps, while industrials and building materials were trimmed by 14 bps and 7 bps respectively, reflecting a cautious stance on cyclical segments.
| Bought Stocks | Sold Stocks |
| HDFC Bank | Power Grid Corporation of India |
| Kotak Mahindra Bank | Indian Oil Corporation |
| Bharti Airtel | Bharat Petroleum Corporation |
| Eternal | Tata Steel |
The trend highlights confidence in banking leaders and telecom, while selling in oil, gas, and metals suggests profit booking after recent rallies.
Read more: Best Defence Mutual Funds in India for April 2026: Aditya Birla SL Fund, HDFC Defence Fund and More!
The March 2026 portfolio reshuffle reflects a clear shift toward selective growth and defensive positioning. With strong inflows and lower cash levels, mutual funds appear increasingly confident about market opportunities, while maintaining caution in cyclical sectors.
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 in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Apr 16, 2026, 3:07 PM IST
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