Equity mutual funds saw a 6% decline in inflows in December 2025, with investments dropping to Rs 28,054.06 crore from Rs 29,911.05 crore in November, according to monthly data released by the Association of Mutual Funds in India (AMFI).
Inflows across equity categories were lower compared to November, even as flexi-cap funds led the inflows during the month. Overall, the mutual fund industry reported a net outflow of Rs 66,591 crore in December 2025, compared with a net inflow of Rs 32,755 crore in the previous month.
AMFI data showed that net assets under management (AUM) stood at Rs 80.23 lakh crore at the end of December 2025. Gross fund mobilisation during the month was Rs 14.66 lakh crore, while repurchases and redemptions were higher at Rs 15.33 lakh crore, resulting in the net outflow.
SIP investments rose to a record Rs 31,002 crore in December, as against Rs 29,445 crore in November 2025.
Flexi caps consolidate lead, most others soften
Flexi-cap funds remained the top-gaining equity category in both months. Inflows into flexi-cap schemes rose sharply to Rs 10,019.27 crore in December, compared with Rs 8,135 crore in November, making them the clear outlier amid an overall slowdown.
Most other diversified equity categories, however, saw a moderation in inflows. Mid-cap funds recorded inflows of Rs 4,175.81 crore in December, down from Rs 4,487 crore in November. Similarly, large & mid-cap funds saw inflows ease to Rs 4,093.51 crore from Rs 4,503 crore a month earlier.
Small-cap and focused funds see lower traction
Inflows into small-cap funds declined to Rs 3,823.82 crore in December, compared with Rs 4,407 crore in November, indicating some cooling in investor interest.
Focused funds also saw a sharp drop in inflows, falling to Rs 1,056.82 crore in December from Rs 2,040 crore in November. Multi-cap funds witnessed a similar trend, with inflows easing to Rs 2,254.95 crore from Rs 2,463 crore.
Sectoral funds, ELSS remain weak; outflows continue
Investor interest in sectoral and thematic funds weakened further, with inflows dropping to Rs 945.99 crore in December from Rs 1,865 crore in November.
Tax-saving ELSS funds remained under pressure for the second straight month. Outflows widened to Rs 717.73 crore in December, compared with Rs 570 crore in November. Dividend yield funds also continued to see redemptions, though outflows narrowed slightly to Rs 254.32 crore from Rs 278 crore.
Overall, while flexi-cap funds strengthened their dominance in December, most other equity fund categories saw lower inflows compared to November, reflecting a broader slowdown in equity mutual fund investments, as per data released by the Association of Mutual Funds in India.
Gold ETFs see sharp rise in inflows in December
Gold exchange-traded funds (ETFs) witnessed a strong surge in investor interest in December compared to November.
Net inflows into Gold ETFs jumped to Rs 11,646.74 crore in December, more than three times the Rs 3,742 crore recorded in November.
The sharp rise indicates increased allocation towards gold in December, even as equity mutual fund inflows moderated during the month.