November equity mutual fund inflows jump 21% after declining for three straight months: AMFI Data

Inflows into equity mutual funds (MFs), after declining for three consecutive months, increased 21.4% to ₹29,911.05 crore in November, up from ₹24,690.33 crore in the previous month.

However, debt mutual funds witnessed a net outflow of ₹25,692.63 crore in November, as against a significant inflow of ₹1.59 lakh crore recorded in October.

In line with the withdrawal seen in debt MFs, net inflow into the mutual fund industry fell massively by 84.8% to ₹32,755.36 crore in November from ₹2,15,656.68 crore in October.

Total assets under management (AUM) of the mutual fund industry increased slightly by 1.1% to ₹80,80,369.52 crore during the month, up from ₹79,87,939.94 crore in October.

“Equity inflows have picked up slightly in the month of November, aided by steady inflows in diversified categories such as flexi-cap, which has seen steady flows for the second consecutive month. This is a constructive trend, especially because the surge in flows earlier in the year was driven largely by NFO activity and recency bias. With one-year returns across equity categories moderating, inflows now appear more balanced and less sentiment-driven," said Suranjana Borthakur, Head of Distribution & Strategic Alliances, Mirae Asset Investment Managers (India).

Net inflows into equity mutual funds over the months

AMFI November Data: Key highlights

• Net inflows into gold ETFs fell by 51.6% to ₹3,741.79 crore in November from ₹7,743.19 crore in October. In November, gold ETF inflows fell by 7.4%, after increasing significantly by 281.9% in September to ₹8,363.13 crore.

• Retail participation through Systematic Investment Plans (SIPs) decreased in November, falling to ₹29,445 crore from ₹29,631 crore in October.

• Flexi-cap funds remained the highest contributor among the equity fund categories, with net inflows of ₹8,135.01 crore. However, this is a 9% drop from ₹8,928.71 crore in October.

• From all categories in equity-oriented schemes, only ELSS and dividend yield funds recorded outflows in November at ₹570.17 crore and ₹277.74 crore, respectively.

• Among debt-oriented schemes, liquid funds, which recorded a major inflow of ₹89,375.12 crore in October, saw an outflow of ₹14,050.72 crore in November.

"On the whole, the broader participation remains healthy, with core diversification trends strengthening. SIP inflows once again remain robust at around ₹29,900 crore, reinforcing the increasing discipline and maturity among retail investors. This consistent SIP momentum is a positive sign and underscores the importance of staying committed to long-term wealth creation through market cycles," said Borthakur.