Gold & Silver Oriented Funds Have Witnessed Over Rs100 Bn Of Inflows
FinTech BizNews Service
Mumbai, 11 January 2026: Association of Mutual Funds in India (AMFI) has released Mutual Fund Industry Monthly Data for December 2025.
Here are perspectives of experts from MF houses on this monthly data.
Suranjana Borthakur, Head of Distribution & Strategic Alliances, Mirae Asset Investment Managers (India):
“The Dec ‘25 AMFI data indicates a shift in investor preference towards broader and more diversified categories. In 2024, sectoral and thematic funds witnessed elevated inflows driven largely by return chasing, where allocations were not always aligned with investor risk profiles. This has led many investors to reassess their approach and move towards more balanced categories such as flexi cap funds which has attracted 23% of YTD net inflows in equity.”
“With valuations in mid and small cap segments appearing relatively expensive and market performance remaining uneven, flexi cap funds have emerged as a preferred option. These funds offer the flexibility to adjust exposure across large, mid and small cap stocks based on market conditions, reducing the need for investors to make frequent allocation decisions themselves.”
“Within hybrid categories, a significant portion of inflows continues to be directed towards arbitrage funds, which are typically used for short-term deployment of surplus funds. At the same time, multi-asset funds has seen 30% of YTD inflows in Hybrid, reflecting a growing preference for diversified portfolios that include equity, debt and commodities. Gold has seen an exceptional year and the net inflows into gold ETFs has also gone up 4 times since last year. Gold is increasingly being viewed not only as a hedge but as a more strategic and long-term component of investor portfolios.”
Akhil Chaturvedi, Executive Director and Chief Business Officer, Motilal Oswal Asset Management Company:
Equity gross sales increased by ~7% month-on-month to Rs72,808 crore, while hybrid gross sales grew 17% to Rs16,548 crore, indicating sustained participation in market-linked products. Flexi Cap funds were the key contributors, supported by NFO-led inflows, while Multi Asset Allocation funds recorded their peak gross sales in December 2025 at ~₹9,000 crore. Despite elevated redemptions, equity funds posted healthy net inflows of Rs29,500 crore in December, reflecting profit-taking rather than risk aversion, with hybrid funds also remaining net positive. Gold & Silver oriented funds also have witnessed over Rs10000cr of inflows.”
Juzer Gabajiwala, Director, Ventura:
“Net collections for the full calendar year 2025 have seen a dip compared to 2024. Small and Midcap schemes have seen a good traction despite muted performance during 2025. This shows more investors are now aware and are buying the dip. Thematics have rightly seen a dip as the no. of NFOs in this space were marginal. Flexicap is now flexing it muscles with investors having faith in fund managers ability to swing between different market cap. The collections have nearly doubled in last 1 year and also account for the largest chunk of the net collections of 2025.”
Mr. A Balasubramanian, Managing Director & CEO, Aditya Birla Sun Life AMC:
The record SIP inflows in December mark is a testament to SIPs increasingly becoming a way of life for Indian investors. Strong full-year equity inflows across various categories indicate that investors are balancing diversification with growth. As participation widens across segments, it reinforces the industry’s robust foundation and its long-term structural growth trajectory. Continued SIP investments, even amid global volatility and market fluctuations, point to rising financial awareness, reflecting disciplined investing.
Dr. Vikas Gupta, CEO & Chief Investment Strategist at OmniScience Capital
‘
The inflows into the industry continue at a consistent pace with investors showing confidence in the long term potential of the Indian economy and the stock markets as a reflection of the underlying health of the economy. Given the stock market volatility in the last 1 year, and the extraordinary returns from gold and silver, large inflows into Multi asset funds are visible. However, we would be cautious on allocations to gold and silver at this point.’
Ovas Bakshi, Head-Retail Sales, Kotak Mahindra AMC:
“We witnessed a growth of over 5% in December, as some inflows from November were deferred due to the holiday period. This growth, however, remains in line with our expectations.
Investors continue to experience the benefits of SIPs in wealth creation. Month after month, they return to build more investment-oriented portfolios. We are seeing a clear trend of financialization of savings in the country, and we believe this momentum will persist. More and more investors are expected to join mutual funds, keeping flows in positive territory and driving SIP numbers to new heights.
This year, with large caps outperforming mid and small caps, flows have been more concentrated in the flexi-cap category. Multi-Asset funds have also witnessed strong inflows as these funds invest can invest in Equity, Debt & Commodities."
Sanjay Agarwal, Senior Director and Head of BFSI, CareEdge Ratings:
“The AuM of the mutual fund industry declined marginally by 0.71% to Rs 80.23 lakh crore in December 2025 from Rs 80.80 lakh crore in November 2025 pulled by withdrawals from debt schemes due to advance tax payments and quarterly liquidity management and was partially offset by continued inflows in equity mutual funds coupled with rise in underlying asset prices as investors continue to repose faith in the industry. Equity mutual fund inflows stood at Rs 28,054 crore in December 2025, down 6.2% from Rs 29,911 crore recorded in November 2025. Despite a marginal dip, equity schemes continued to see steady investor participation, with inflows remaining in positive territory for nearly 5 years.
Debt mutual funds, on the other hand, saw outflows, a typical quarterly redemption pattern for liquidity management by financial institutions and corporates, alongside advance tax payments in December 2025. Meanwhile, according to media reports, net direct tax collection grew 8% to approximately Rs 17.04 lakh crore between April 1 and December 17. During December 2025, debt mutual fund outflows stood at Rs 1.32 lakh crore, of which outflows from liquid, ultra short duration, low duration and money market categories were nearly Rs 1.15 lakh crore, i.e. around 87% of the outflows, while the overnight and floater categories received marginal inflows. Amidst rising gold prices and market volatility, gold ETFs' inflows tripled sequentially to over Rs 11,600 crore. Additionally, in December 2025, 23 open-ended NFOs were floated, which collectively mobilised Rs. 0.04 lakh crore, with flexi-cap funds accounting for a 60.6% share.”
