The Mutual Fund industry’s Average AUM hit an all-time high of ₹84.18 lakh cr in June, up from ₹83.47 lakh cr in May, despite net outflows of ₹52,949 cr, primarily driven by heavy redemptions from debt-oriented schemes.
Equity-oriented mutual fund inflows rebounded 26.5% MoM to ₹28,973 cr in June 2026, from ₹22,908 cr in May, signalling a recovery in investor appetite. Mid-cap funds led inflows at ₹6,090 cr, followed by Small-cap funds at ₹5,602 cr and Flexi-cap funds at ₹5,231 cr, while Large-cap inflows also strengthened to ₹2,067 cr.
Debt mutual fund outflows crossed ₹1 lakh cr in June, widening to ₹1.09 lakh cr from ₹96,949 cr in May and marking the second consecutive month of heavy redemptions.
Liquid funds led the withdrawals at ₹42,293 cr, followed by Low Duration, Ultra Short Duration, Money Market and Overnight funds. The withdrawals likely reflected quarter-end institutional liquidity requirements and tax-related treasury operations. Market participants generally view these as seasonal flows rather than a structural deterioration in debt-fund sentiment.
Mutual fund SIP inflows rose to a three-month high of ₹31,781 cr in June, just below the all-time high of ₹32,087 cr recorded in March. Contributions grew 2.7% MoM, reflecting resilient retail participation despite market volatility.
Gold ETFs staged a sharp comeback in June, attracting ₹3,443 cr in net inflows after witnessing ₹725 cr of outflows in May.
Other ETFs led with ₹13,238 cr, driven by Domestic Equity ETFs at ₹8,576 cr and Silver ETFs at ₹4,286 cr. Meanwhile, Index Funds recorded marginal outflows of ₹59 cr, as inflows into Domestic Equity Index Funds were offset by redemptions from debt-oriented index funds.
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