In June 2025, equity mutual fund inflows witnessed a sharp rise, which boosted the spirits of mutual fund investors, especially after a 22% fall in the month of May. The equity mutual fund inflows jumped by 24% in June, as per the Association of Mutual Funds in India (AMFI). During the month, the benchmark indices Nifty 50 gained around 2.7% while Sensex surged around 3.1% even though the global trade tensions were there and geopolitical tension heightened.
So, what resulted in this jump? Let’s find out.
Mark-To-Market Gains
The rally seen in June in the overall net asset under management (AUM) of equity mutual funds is mostly due to the mark-to-market gains in the equity segment. The AUM of the equity funds jumped to an all-time high of ₹74.41 lakh crore, which stood at ₹72.20 lakh crore in May 2025 and ₹69.99 lakh crore in April 2025.
Having said that, while the existing equity funds witnessed such a growth in inflow, the New Fund Offers (NFOs) saw a massive 52% decline from May 2025’s ₹4170 crore to June’s ₹1986 crore.
Category-wise Inflows and Outflows
Equity Category
Within the equity mutual fund category, the largecap funds witnessed the highest inflows growth of 35% in June to ₹ 1694 crore compared to the previous month’s ₹1250.5 crore. The small-cap funds also offered good support as the open-ended schemes in this segment witnessed an inflow of ₹4024.5 crore, up by 25% from the previous month’s ₹3214 crore. The midcap funds saw a 34% rise in the inflows to ₹3754 crore from ₹2808.7 crore recorded in May 2025.
Coming to the thematic funds and sectoral funds, these funds’ inflows, however, fell massively by 77% to ₹475.61 crore from a whopping ₹2052.5 crore registered in May 2025. Even the Equity-linked savings schemes (ELSS) witnessed an 18% decline in their inflows to ₹556 crore from May’s ₹678 crore. The funds having dividend yield stocks as the underlying seen inflows of ₹45.55 crore furring June, better than May’s outflow of ₹20.82 crore.
Debt Category
In June 2025, the liquid funds from the debt funds category saw an outflow of ₹25196 crore; however, this is less 37% than the outflow of ₹40205.4 crore witnessed during May. On the other hand, the corporate bond funds saw inflows of 7124.5 crore, which dipped by 41% from ₹11983.3 crore in May. Then the Credit Risk funds witnessed an outflow of 168 crore, 32% down from the outflow of ₹248 crore in May.
ETFs and Hybrid
Finally, coming to the Gold ETFs and hybrid funds, here the story is quite different. While the Gold ETFs jumped incredibly by 613% to ₹2080.9 crore from a mere ₹292 crore in May 2025. However, other ETF inflows declined by 79% during the same period to ₹844.43 crore from ₹4086.8 crore in May. The hybrid funds inflows for June stood at ₹23223 crore, up from ₹20765 crore in May.
SIPs
The inflows via SIPs also grew to ₹27269 crore in June compared to ₹26699 crore in May 2025.
Wrapping up It is quite interesting to see how the mutual fund industry has come back on track after a slow May. The investors rejoice at the comeback in the equity mutual fund segment and are ramping up their investments with positive growth in the coming days.
Source: Moneycontrol
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