Equity MF Inflows Dip 14% To ₹24,028 Crore In January Amid Caution, Gold ETFs Surge To ₹24,040 Crore

New Delhi: Equity mutual funds attracted net inflows of Rs 24,028 crore in January, marking a 14 per cent decline from the previous month, according to data released by industry body Amfi on Tuesday. This was the second consecutive month of moderation in equity inflows, as investor sentiment remained cautious amid subdued market conditions and ongoing geopolitical concerns.

Despite the slowdown in equity investments, the mutual fund industry's overall asset base continued to expand. Total assets under management (AUM) rose to Rs 81.01 lakh crore in January from Rs 80.23 lakh crore in December. Overall, the industry recorded net inflows of Rs 1.56 lakh crore during the month, recovering from net outflows of Rs 66,591 crore in December, supported by inflows across multiple fund categories.

Equity inflows softened sequentially from Rs 28,054 crore in December and Rs 29,911 crore in November, although they remained higher than Rs 24,690 crore recorded in October, data showed. Within equity schemes, flexi-cap funds led inflows with net additions of Rs 7,672 crore, followed by mid-cap funds at Rs 3,185 crore and large and mid-cap funds at Rs 3,182 crore.

Large-cap funds attracted net inflows of Rs 2,005 crore, while small-cap funds saw inflows of Rs 2,942 crore. In contrast, equity-linked savings schemes (ELSS) witnessed net outflows of Rs 593.69 crore, reflecting some profit booking and tax-related adjustments by investors. Meanwhile, gold exchange-traded funds saw a sharp surge in demand, with inflows more than doubling month-on-month to Rs 24,040 crore in January from Rs 11,647 crore in December.

Debt mutual funds also staged a turnaround, recording net inflows of Rs 74,827 crore in January after witnessing significant outflows of Rs 1.32 lakh crore in the previous month. 

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