Equity AUM hits Rs 44.4 trillion in November as market rally, steady SIPs lift MF flows — Nuvama

India’s mutual fund industry saw equity inflows bounce back strongly in November 2025, helped by a steady market, consistent SIP flows and a clear rise in lump-sum investments. According to a sector update by Nuvama Research, retail participation remained resilient despite bouts of volatility, helping push active equity assets under management to a record Rs 44.4 trillion during the month. The uptick coincided with a 1.9 per cent rise in the Nifty 50, adding further heft to equity portfolios across categories.

SIPs remain the backbone of retail flows

Add Zee Business as a Preferred Source

Nuvama noted that SIP contributions held steady at Rs 294 billion in November, broadly unchanged month-on-month. The sustained inflows underline how retail investors have continued to back long-term wealth creation through disciplined entries, even as global risk sentiment fluctuated through the month. Analysts pointed out that SIP traction has been the single biggest stabilising force for equity markets in 2025.

Lump-sum revival lifts overall equity inflows

After months of muted activity, lump-sum investments staged a sharp comeback. November saw flows surge 274 per cent from the previous month to Rs 98.8 billion, providing a decisive boost to industry volumes. As a result, active equity net inflows jumped 22.2 per cent month-on-month to Rs 393 billion. For FY26 so far, net inflows into active equity funds have reached Rs 2.9 trillion - about 8 per cent of the industry's opening AUM - though still 12.9 per cent lower compared to the previous financial year.

Large- and mid-cap funds lead the inflow league

Across categories, large- and mid-cap schemes drew the highest share of investor interest, cornering 27 per cent of November’s active equity inflows. Flexi-cap funds followed with 20.7 per cent, while small-cap schemes delivered a relatively softer 11.2 per cent share amid valuation concerns. Thematic funds remained a niche choice, accounting for just 4.7 per cent of flows.

Nuvama said seven new fund launches in the active equity space collectively mobilised Rs 26.6 billion, while inflows into existing schemes rose more than 32 per cent to Rs 366.7 billion, reflecting improving investor confidence.

Passive flows soften; gold and overseas funds see steady demand

Passive funds - ETFs and index funds - recorded net inflows of Rs 154 billion, a mild moderation from October. Meanwhile, gold ETFs and overseas fund-of-funds attracted Rs 39 billion as investors continued to diversify across asset classes. Arbitrage funds posted a sharp month-on-month decline in net inflows, slipping nearly 40 per cent to Rs 42 billion.

Debt schemes subdued; liquid funds see heavy outflows

Debt-oriented schemes remained relatively muted, with net inflows of Rs 144 billion. Liquid funds, however, saw significant outflows of Rs 406 billion, largely driven by treasury operations and institutional cash movements at the start of the financial quarter.