Mutual fund equity inflows hit ₹29,315 crore in August, up from July’s ₹24,685 crore. Small-cap and mid-cap funds saw high inflows, while large-caps had outflows. By Anshul September 10, 2026, 12:28:59 PM IST (Published)
2 Min Read
Net equity inflow into mutual funds rose to ₹29,315 crore in August, compared with ₹24,685 crore in July, according to data released by the Association of Mutual Funds in India (AMFI) on Thursday (September 10). The August inflow was ₹4,630 crore higher than the previous month, translating into an 18.8% month-on-month increase. Within equity-oriented categories, large-cap funds recorded an outflow for the second consecutive month. Meanwhile, small-cap fund inflows were at their highest level in at least two years, while mid-cap fund inflows reached a level that was at least a one-year high. Sandeep Bagla, CEO of TRUST Mutual Fund, attributed the relatively weak large-cap flows to the lack of excitement around the large-cap index, which has significant exposure to sectors such as BFSI, IT and FMCG.
According to Bagla, performance and flows in these funds have remained lacklustre amid valuations and slower growth in these areas. “Excitement has shifted to small and mid-caps and that inflows are increasing,” Bagla said. He said the trend was also linked to earnings growth, with more earnings upgrades taking place in mid- and small-cap companies compared with large-caps. He added that the incremental growth in earnings is increasingly coming from mid- and small-caps, which is reflected in the flow trends.
Bagla expects the trend of stronger flows into mid- and small-cap funds to continue for at least another six months. SIP contributions rose to an all-time high of ₹32,297 crore in August, compared with ₹31,115 crore in July. The increase was 3.8% month-on-month. The industry recorded 66.39 lakh new SIP registrations during August, while 53.82 lakh SIP accounts were discontinued during the month. ETFs saw total inflows of ₹10,161 crore in August. Of this, equity ETFs accounted for ₹7,237 crore, while gold ETFs received ₹2,597 crore and silver ETFs saw inflows of ₹1,271 crore.
More Read
Specialised Investment Funds (SIFs) recorded ₹7,699 crore of inflows during August, according to the AMFI data. Note To Readers
This article is for informational purposes only and should not be construed as investment advice. Readers should consult certified experts before making any investment decisions. Home Personal Finance News August MF data: Equity inflow rises nearly 19%; small-cap inflow hits 2-year high
