Significant Growth in India's Mutual Fund Inflows in July

In July 2023, India's mutual fund industry witnessed a substantial net inflow of ₹2.35 lakh crore, with total assets under management reaching ₹85.76 lakh crore. The growth was primarily driven by debt-oriented schemes, while equity-oriented funds also saw positive inflows. Notably, small-cap funds attracted the highest investments among equity schemes. Despite some outflows in large-cap and ELSS funds, hybrid schemes and ETFs performed well. This article delves into the details of these trends and their implications for investors.

By Narendra Chaudhary Aug 11, 2026, 12:53 IST

Overview of Mutual Fund Performance

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New Delhi, Aug 11: In July, mutual fund schemes in India experienced a remarkable net inflow of ₹2.35 lakh crore, with the total assets under management (AUM) climbing to ₹85.76 lakh crore, as reported by the Association of Mutual Funds in India (AMFI) on Tuesday.

The surge in inflows was primarily driven by debt-oriented schemes, which garnered a net amount of ₹1.88 lakh crore during the month.

Equity-oriented schemes also performed well, attracting net inflows of ₹24,697 crore in July.

As of July 31, the total AUM for mutual fund schemes was recorded at ₹85,75,656.52 crore, compared to an average AUM of ₹86,33,798.38 crore for the month.

Open-ended schemes dominated the industry, accounting for the majority of assets and inflows, with net inflows of ₹2,36,595 crore, raising their AUM to ₹85,59,041 crore.

Among equity-oriented schemes, small-cap funds led the way with the highest net inflow of ₹7,767.50 crore, followed by mid-cap funds at ₹6,192.31 crore and flexi-cap funds at ₹4,709.08 crore.

Large and mid-cap funds saw net inflows of ₹3,425.34 crore, while multi-cap funds attracted ₹3,227.29 crore.

Sectoral and thematic funds also recorded a net inflow of ₹1,328.27 crore.

Conversely, large-cap funds faced a net outflow of ₹1,321.69 crore during the same period. ELSS funds experienced an outflow of ₹959.13 crore, and dividend-yield funds saw a decline of ₹169.16 crore.

Hybrid schemes reported a net inflow of ₹11,490.56 crore in July, with arbitrage funds contributing the largest share at ₹6,502.44 crore, followed by multi-asset allocation funds at ₹3,753.38 crore.

Other schemes, including ETFs, recorded a net inflow of ₹9,512.05 crore, while Gold ETFs attracted ₹1,558.75 crore.

Index funds also saw a net inflow of ₹1,536.60 crore.

Within the debt-oriented category, liquid funds attracted the highest net inflow of ₹1,19,065.85 crore, followed by overnight funds at ₹40,412.55 crore and money market funds at ₹21,180.23 crore.

As of July 31, the total number of mutual fund folios reached 28.09 crore.