Indian mutual fund industry's AUM crosses Rs 70 trillion milestone: ICRA Analytics

The assets under management ( AUM) of the Indian mutual fund industry grew by 22.25% YoY in March 2025 to reach the Rs 70 trillion mark.

The AUM of open-ended “other schemes” witnessed the highest YoY growth of 23.80% in April 2025, followed closely by open-ended equity schemes (23.57%) and hybrid schemes (20.74%). “Other schemes” comprise index funds, ETFs and FoF investing overseas, according to data from the Association of Mutual Funds in India ( AMFI).

Within index funds and ETF space, Gold ETF schemes grew 87.33% YoY in April 2025 to Rs 61,422 crore, followed by a modest 31% growth in index funds over the same period to Rs 2,92,206 crore, according to a release by ICRA Analytics

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In the equity category, AUM of sectoral/thematic funds witnessed the highest YoY growth of 49.94% followed by multi cap funds which grew 35.79%. In the debt segment, AUM of the long duration scheme category rose 58.14% YoY, followed by money market (44.79%) and ultra short duration (32.78%) categories.

The number of folios grew 30.21% YoY as of April 2025. This growth was primarily driven by “other schemes” for which folios increased 45.94%, while those of equity schemes rose by 31.39%. Meanwhile, folio count for debt-oriented schemes declined by 1.15% over the year.

The reciprocal tariffs imposed by the U.S. President, coupled with geo-political tensions between India and Pakistan following the Pahalgam terror incident, kept investors on tenterhooks. However, domestic mutual fund investors continued to show confidence and remained steady, the release said.

Data from AMFI showed that inflows into equity mutual funds amounted to Rs 24,269.26 crore. While this was a 12-month low, reflecting investor caution amid market volatility, it also marked the 50th consecutive month of positive inflows in the equity segment since March 2021 – highlighting growing investor maturity and discipline.

After witnessing a sequential drop of nearly 14% in equity fund inflows in March 2025, the category narrowed the fall to a MoM decline of 3.24% in April 2025. However, on a YoY basis, the inflow rose 28.29% during the same period.

Meanwhile, domestic ETFs (excluding Gold ETFs) continued gaining prominence with net inflows hitting an all-time high of Rs 19,057 crore in April 2025. This underscores a shifting investor preference toward low-risk passive investment amid global and domestic uncertainty.

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The total number of outstanding SIP accounts grew 5% YoY to 914.41 lakhs in April 2025 from 870.11 lakh a year ago. The number of SIP accounts contributed rose by 31%, reaching Rs 838.25 lakh in April 2025.

The SIP contributions grew by 31% YoY to Rs 26,632 crores in April 2025 from Rs 20,371 crores in April 2024, and increased by 2.72% MoM. SIP AUM grew 23% YoY and 4% MoM in April 2025. SIP AUM as a percentage of month end AUM stood at 19.85% in April 2025 as compared to 19.67% in April 2024.

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