Archive · 2 Jan 2026
India's Mutual Fund Growth and Market Trends
In 2025, the mutual fund industry in India grew a lot, reaching Rs 81 lakh crore by November.
This growth was mainly because more people started investing in mutual funds through something called SIPs, which is a way to invest small amounts regularly.
The number of investors also increased by a lot.
However, the stock market had some tough times because of high valuations and selling by foreign investors.
Despite this, experts say that investing through SIPs is a good way to build wealth over time.
SIP calculators can help investors see how their investments are doing and plan for the future.
Additionally, retail investors pumped a record amount into IPOs, showing strong interest in the primary market.
Experts also believe that the AI boom is different from the dotcom bubble because companies are making profits now, unlike in the past.
Overall, the mutual fund industry is doing well, and more people are learning about investing.
Mutual fund industry's AUM reached Rs 81 lakh crore by November 2025, a 21% increase from 2024.
Net inflows of Rs 7 lakh crore and SIP contributions of Rs 3 lakh crore drove the growth.
Investor base increased by 3.36 crore, with strong retail participation.
Growth in 2025 was lower than the previous year's 31% but remains strong over the long term.
Indian stock market faced challenges in 2025, with high valuations and FII selling, but SIPs help investors navigate market volatility.
- Who
- Mutual Fund Industry, Investors, Foreign Institutional Investors (FIIs), Kotak AMC MD Nilesh Shah, Retail Investors
- What
- Growth in Assets Under Management (AUM), investor base increase, SIP inflows, market volatility, AI boom in stock market, record retail investments in IPOs
- When
- 2025, with data up to November and December
- Where
- India
- Why
- Increased retail participation, strong equity market performance, financialisation of household savings, market volatility, AI-led gains backed by profits, positive outlook on commodities, strong IPO market performance
- Total AUM
- Rs 81 lakh crore
- Growth in 2025
- 21%
- Net Inflow
- Rs 7 lakh crore
- SIP Contribution
- Rs 3 lakh crore
- Investor Base Increase
- 3.36 crore
- Growth in 2024
- 31%
- Growth in 2023
- 27%
- Growth in 2022
- 7%
- Growth in 2021
- 22%
- Total Growth Over 5 Years
- Rs 50 lakh crore
- FII Selling in 2025
- Rs 1.6 lakh crore
- Stocks Down >20% from 52-Week High
- 90% of 2,667 listed companies
- Stocks Down 10-20% from 52-Week High
- 413 stocks
- Stocks Down 20-50% from 52-Week High
- 1,532 stocks
- Total Listed Companies
- 5,185 (as of December 20, 2025)
- Total Market Cap
- Rs 4.7 lakh crore
- Retail Investments in IPOs (FY26)
- Rs 34,840 crore
- Retail Investments in IPOs (FY25)
- Rs 34,336 crore
- Retail Investments in IPOs (FY24)
- Rs 18,057 crore
- Mainboard IPOs in 2025
- 103
- SME IPOs in 2025
- 267
- Total IPO Proceeds in 2025
- Rs 1.76 lakh crore
- SME IPO Proceeds in 2025
- Rs 11,435 crore
- Retail Outflows in Secondary Market (FY26)
- Rs 13,000 crore
- Retail Inflows in Secondary Market (FY25)
- Rs 1.25 lakh crore
Sources
MF industry’s AUM surged to Rs 81 lakh crore in 2025
Active investors likely to earn up to 22% in 2026: Report
2025 Wasn’t Easy! 5 investing lessons 2025 taught Indian stock market investors
Indian stock market may not see a broad-based rally in 2026, says Prescient Capital co-founder
How Investors Can Use a SIP Calculator to Track Mutual Fund SIP Growth
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