History made: Equity funds receive record net inflows of Rs.4.17 lakh crore in FY 2025

An analysis of AMFI AUM data done by Cafemutual reveals that equity funds received the highest inflows last financial year.

Our analysis shows that the industry received net inflows of Rs.4.17 lakh crore in equity funds in FY 2025 compared to Rs.1.84 lakh crore in FY 2024, a massive jump of 127% in just a year. This is the highest net inflows in the history of the Indian mutual fund industry.

Among equity funds, sectoral/thematic funds received the highest net inflows of Rs. 1.47 lakh crore in FY 2025. This category recorded a massive growth of 218% in net inflows last financial year.

Overall, open-ended schemes across categories registered net inflows of Rs. 8.18 lakh crore compared to the inflows of Rs. 3.68 lakh crore in FY 24, a massive jump of 122% in one year.

Here are the key highlights for the MF industry in FY 2025:

Equity schemes

• Apart from sectoral/thematic funds, flexi cap and multi cap funds received the highest net inflows of Rs.49,580 crore and Rs. 42,282 crore, respectively
• Small cap, mid cap and large & mid cap funds also witnessed healthy net inflows of more than Rs. 40,000 crore
• In terms of AUM growth over the last one year, sectoral/thematic, multi cap and large & mid cap funds emerged as the front runners. The AUM for these funds grew by 51.59%, 37.87% and 25.82%, respectively

Debt schemes

• Debt schemes witnessed net inflows of Rs. 1.38 lakh crore in FY 25 compared to net outflows of Rs. 23,097 crore in FY 24

• Money market funds became the largest fund category in terms of net inflows. This fund category received net inflows of Rs. 66,582 crore in FY 2025 compared to the inflows of Rs. 29,859 crore in FY 2024
• Liquid funds and low duration funds were the next two categories in terms of net inflows. While liquid funds witnessed net inflows of Rs. 38,349 crore, low duration funds recorded net inflows of Rs. 14,729 crore
• In terms of AUM growth, long duration fund, money market fund and gilt fund witnessed highest growth in AUMs. The AUM of these fund categories went up by 64.31%, 57.87% and 47.14%, respectively

Hybrid schemes

• The hybrid funds witnessed net inflows of Rs. 1.19 lakh crore in FY 25 compared to Rs. 1.44 lakh crore in FY 24, a decline of 17%

• Arbitrage fund, multi asset allocation fund and dynamic asset allocation/balanced advantage fund were the largest categories in terms of net inflows
• Although, the inflows in arbitrage funds saw a negative growth of 44%, it has still become the largest fund category with net inflows of Rs. 50,800 crore in FY 2025 compared to Rs. 90.846 crore in FY 24
• Multi asset allocation funds and dynamic asset allocation/balanced advantage funds recorded net inflows of Rs. 34,786 crore and Rs. 18,559 crore, respectively
• In terms of AUM growth, multi asset allocation fund witnessed the highest growth 60% to reach Rs. 1.13 lakh crore
• Balanced advantage funds continue to be the largest fund category among hybrid funds with AUM of Rs. 2.79 lakh crore in March 2025

Solution oriented schemes

• Solution oriented schemes recorded net inflows of Rs. 3,292 crore in FY25 as against Rs.2,284 crore in FY24

• Retirement funds and children funds registered net inflows of Rs. 1,942 crore and 1,351 crore, respectively
• The AUM of solution-oriented schemes went up by 14% to reach Rs.50,000 crore