According to data released on Wednesday by the Association of Mutual Funds in India (AMFI), strong investor interest in equity mutual funds continued in May, recording a net inflow of ₹22,907.77 crore.
The mutual fund industry’s total Assets Under Management (AUM) rose to ₹81.58 lakh crore. Meanwhile, the total number of folios increased to 27.65 crore, reflecting the steadily growing participation of retail investors in financial markets.
Category-wise data shows that flexi-cap funds attracted the highest net inflow at ₹5,175.54 crore. This was followed by small-cap funds with an inflow of ₹4,945.57 crore and mid-cap funds with ₹4,385.06 crore.
Collectively, flexi-cap, small-cap, and mid-cap funds attracted over ₹14,500 crore, accounting for more than 63 percent of the total inflow into equity funds in May. This indicates that investors are prioritizing diversified and broad market-based investment strategies.
Additionally, large & mid-cap funds saw a net inflow of ₹3,278.22 crore, while multi-cap funds recorded ₹2,291.01 crore.
Investor sentiment remained positive towards hybrid schemes as well during May, with the category recording a total net inflow of ₹10,560.24 crore.
Among hybrid funds, arbitrage funds led the way, attracting ₹5,697.90 crore. This was followed by multi-asset allocation funds, which recorded a net inflow of ₹3,928.51 crore. In the realm of passive investment products, index funds recorded a net investment of ₹943.26 crore. Meanwhile, Funds of Funds (FoFs) investing in overseas markets saw an inflow of ₹763.99 crore.
However, Gold ETFs witnessed a net outflow of ₹725.04 crore during May.
Earlier, in April, investor participation in the mutual fund industry had been even stronger. During that month, total investment in the industry had risen to ₹3.22 lakh crore, while equity-oriented schemes recorded a net investment of ₹38,440.20 crore.
