India’s mutual fund industry continues to scale new heights. By September 2025, the industry’s total assets under management (AUM) reached an all-time high of Rs 75.61 lakh crore.
Mumbai alone holds the largest share of this. The city commands a total contribution of Rs 20.54 lakh crore to the overall AUM, accounting for approximately 27.6% of the overall tally, according to a recent report by Franklin Templeton.
This proves that Mumbai, like other investments including equities, is the hub of mutual fund investment in a real sense in the country. In the past year alone, Mumbai’s AUM has grown from Rs 16.5 lakh crore to Rs 20.5 lakh crore, an increase of approximately Rs 4 lakh crore, reflecting a year-on-year growth rate (YoY) of 24%, said the report – based on AMFI data.
India’s mutual fund industry now worth over Rs 75 lakh crore
According to AMFI data, the industry’s AUM reached Rs 75.61 lakh crore in September 2025, up from Rs 67.09 lakh crore a year earlier. This is an increase of over Rs 8.5 lakh crore in just 12 months. Over the past five years, the mutual fund industry has grown at a CAGR of 23%.
Ranking of top cities – Mumbai leads, Delhi 2nd, and Bengaluru 3rd
Mumbai and Delhi together hold over 40% of the total AUM
Mumbai and Delhi together account for over 40% of the country’s total mutual fund AUM. Interestingly, cities like Ahmedabad and Jaipur are also seeing rapid growth in investment. Ahmedabad has overtaken Chennai to reach the 6th position.
The power of SIP investments – Monthly inflows of Rs 29,000 Crore
SIP investors in India are also growing rapidly. By September 2025, the overall SIP AUM reached Rs 15.52 lakh crore, coming from around 9.73 crore SIP accounts. In the September month alone, as many as 57.73 lakh new SIP accounts were opened. New investments through SIP stood at Rs 29,361 crore last month.
If we look at the past five years’ data, there has been a 36% CAGR growth in SIP AUM. Another positive factor is the average ticket size of SIP investment. On average, each investor is now investing Rs 3,000 per month in SIPs.
State-wise trends:
Maharashtra, Delhi, Gujarat, and Karnataka are the top SIP contributors in the country. Haryana (19.3%) and Rajasthan (17.2%) recorded the fastest annual AUM growth. Uttar Pradesh, Tamil Nadu, and Telangana are also becoming major investment hubs.
Mutual fund investments are also growing rapidly in Tier-2 cities
According to AMFI data, investments from Tier-2 and Tier-3 cities (B30 cities) are steadily increasing. Their share has now reached 35%, up from just 24% in 2020.
This indicates that mutual fund investments are now expanding beyond metros and into smaller cities and towns.
Conclusion: Mumbai remains dominant, but investment wave in smaller cities
Mumbai is undoubtedly the mutual fund capital of India, contributing alone an AUM of Rs 20.5 lakh crore. But what’s more interesting is that cities like Jaipur, Bhopal, Chandigarh, and Ahmedabad are now rapidly growing.
This clearly shows that mutual fund investments are no longer limited to large cities, but are spreading a wave of financial empowerment across India.
