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₹4 trn and rising: MFs on course for record equity purchase in '25

Business Standard

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October 07, 2025

Mutual funds’ net equity investments in 2025 have breached the ₹4 trillion mark.

- ABHISHEK KUMAR

So far this year, domestic fund managers have channelled ₹4.02 trillion into equities. They had invested a record ₹4.3 trillion in equities during 2024.

If the current pace continues, mutual funds are on course not only to eclipse last year’s figure but potentially to cross the ₹5 trillion mark.

The ongoing calendar year marks the fifth consecutive year of positive equity flows from mutual funds. The steady run of inflows in recent years has been supported by a robust post-pandemic market performance.

This year’s resilience, however, stands out, coming against a subdued market backdrop and persistent selling by foreign portfolio investors (FPIs). FPIs have withdrawn ₹1.6 trillion from domestic equities. As a result, the benchmark Nifty 50 is up only about 5 per cent so far this year.

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