Daijiworld Media Network – Mumbai
Mumbai, Feb 10: Equity mutual fund inflows moderated in January 2026, slipping 14 per cent month-on-month to Rs 24,028 crore, compared to Rs 28,054 crore in December 2025. On a year-on-year basis, equity inflows dropped sharply by 39 per cent from Rs 39,687 crore recorded in January 2025, reflecting investor caution amid market volatility.
Among the 11 equity sub-categories, flexicap funds continued to dominate investor preference, attracting the highest inflows of Rs 7,672 crore during the month. Midcap funds followed with inflows of Rs 3,185 crore, closely trailed by large & mid-cap funds at Rs 3,181 crore. Smallcap funds garnered Rs 2,942 crore, while ELSS funds witnessed net outflows of Rs 593 crore.
On a month-on-month basis, focused funds saw a sharp 47 per cent rise in inflows, increasing to Rs 1,556 crore from Rs 1,056 crore in December. Largecap funds and sectoral/thematic funds also recorded growth of 28 per cent and 10 per cent, respectively. However, midcap and smallcap funds saw a decline of 24 per cent and 23 per cent in monthly inflows.
Debt mutual funds staged a strong comeback in January, recording inflows of Rs 74,827 crore after witnessing cumulative outflows of Rs 1.58 lakh crore in November and December 2025. Despite the rebound, year-on-year inflows were still 42 per cent lower than the Rs 1.28 lakh crore recorded in January last year.
Among debt sub-categories, overnight funds attracted the highest inflows of Rs 46,280 crore. Liquid funds and money market funds also saw healthy inflows of Rs 30,681 crore and Rs 12,763 crore, respectively. In contrast, corporate bond funds registered outflows amounting to Rs 11,472 crore.
Hybrid funds recorded a robust rise in inflows, surging 61 per cent month-on-month to Rs 17,356 crore in January from Rs 10,755 crore in December. On a yearly basis, inflows nearly doubled, jumping 98 per cent from Rs 8,767 crore in January 2025.
Multi-asset allocation funds led the category with inflows of Rs 10,485 crore, followed by arbitrage funds at Rs 3,293 crore. Arbitrage funds, in particular, saw a massive 2,507 per cent surge in inflows compared to December. Meanwhile, equity savings funds and conservative hybrid funds saw declines of 81 per cent and 35 per cent, respectively.
Other schemes, including passive funds such as ETFs and index funds, recorded a 50 per cent rise in monthly inflows, increasing to Rs 39,954 crore in January from Rs 26,723 crore in December. Gold ETFs emerged as the biggest attraction, garnering Rs 24,039 crore in inflows, a 106 per cent jump month-on-month. Other ETFs received inflows of Rs 15,005 crore.
Fund-of-funds investing overseas also witnessed a sharp 501 per cent rise in inflows, climbing to Rs 881 crore from Rs 146 crore in the previous month.
Overall, total inflows into open-ended mutual fund schemes stood at Rs 1.56 lakh crore in January, compared to an outflow of Rs 66,532 crore in December. Assets under management (AUM) edged up 1 per cent month-on-month to Rs 80.76 lakh crore in January from Rs 79.98 lakh crore in December.
During the month, 12 new mutual fund schemes were launched, collectively mobilising Rs 1,939 crore, with money market funds contributing the largest share at Rs 442 crore.