New Delhi, April 10: According to monthly data released by the Association of Mutual Funds in India (AMFI) on Friday, active equity mutual funds recorded a net investment of ₹40,450.26 crore in March, marking the highest level since July 2025. This figure was significantly higher than February’s ₹25,977.81 crore.
In contrast, the entire mutual fund industry experienced a withdrawal of ₹2.39 lakh crore, while February saw an inflow of ₹94,530 crore.
Meanwhile, investments through Systematic Investment Plans (SIPs) reached a new record, contributing ₹32,087 crore in March, up from ₹29,845 crore in February. This reflects the continued participation of retail investors.
However, the mutual fund sector faced a net outflow of ₹2.39 lakh crore in March, compared to an inflow of ₹94,530 crore in February. The primary reason for this was significant withdrawals from debt funds.
Market experts suggest that the surge in investments is attributed to consistent SIP contributions, year-end portfolio adjustments, and viewing recent market declines as buying opportunities.
They also noted that instability in West Asia has provided good entry points for long-term investors, prompting many to increase their equity investments through mutual funds.
Investment increased across all segments within the equity category. Flexible-cap funds led the way, attracting ₹10,054.12 crore in March, compared to ₹6,924.65 crore in February.
Investments also rose in mid-cap and small-cap funds, with inflows of ₹6,063.53 crore and ₹6,263.56 crore, respectively, surpassing February’s ₹4,002.99 crore and ₹3,881.06 crore.
Additionally, large-cap funds saw an investment of ₹2,997.84 crore, while sectoral and thematic funds experienced stable investments of ₹2,698.82 crore.
On the other hand, debt mutual funds faced a massive outflow of ₹2.94 lakh crore in March, compared to an inflow of ₹42,106.31 crore in February. Overnight and liquid funds were the main contributors to this outflow.
Hybrid schemes also recorded a withdrawal of ₹16,538.47 crore, while arbitrage funds saw a withdrawal of ₹21,113.70 crore.
Moreover, investments in gold exchange-traded funds (ETFs) decreased to ₹2,266 crore, nearly half of February’s ₹5,254.95 crore.
However, new fund offers (NFOs) raised ₹3,985 crore through 24 launches in March, compared to ₹4,979 crore from 21 schemes in February.
Leave a Comment