Equity mutual fund inflows jump 31% to Rs 38,307 crore in September; debt funds see Rs 1.83 lakh crore outflow
Equity fund inflows climbed nearly 31 percent in September, but heavy debt withdrawals dragged overall flows negative.
REPRESENTATIVE IMAGE: Equity Outweighs Debt
Equity mutual fund inflows rose sharply in September 2026, even as heavy withdrawals from debt schemes pulled overall mutual fund flows into negative territory.
Equity-oriented schemes attracted Rs 38,306.55 crore in September, up nearly 31 percent from Rs 29,328.62 crore in August, according to the latest data from the Association of Mutual Funds in India (AMFI).
However, debt mutual funds recorded net outflows of Rs 1,83,155.76 crore, compared with outflows of Rs 8,127.32 crore in the previous month.
Overall, the mutual fund industry reported net outflows of Rs 1,33,214.25 crore in September, against net inflows of Rs 41,368.05 crore in August.
Equity fund inflows rise by nearly Rs 9,000 crore
Equity mutual funds received Rs 8,977.93 crore more in September than in August, marking a substantial increase in monthly net inflows.
The rise comes after equity funds had already recorded a nearly 19 percent increase in inflows in August.
The September numbers show that equity schemes continued to attract money despite the sharp reversal in overall industry flows. The category-wise equity data will provide a clearer picture of which fund categories contributed most to the increase.
Debt funds see sharp rise in withdrawals
Debt mutual funds recorded the biggest movement during September, with net outflows widening to Rs 1.83 lakh crore from Rs 8,127 crore in August.
The difference between the two months was more than Rs 1.75 lakh crore.
September also marks the end of the financial year’s second quarter, a period when institutional investors and companies may withdraw money from short-term debt schemes to meet liquidity requirements.
However, the debt category-wise breakup will be needed to establish which schemes accounted for the withdrawals.
Hybrid funds turn negative; ETF inflows rise
Hybrid mutual funds also saw a reversal in September.
The category recorded net outflows of Rs 456.68 crore, compared with inflows of Rs 10,045.34 crore in August.
Exchange-traded funds (ETFs), meanwhile, attracted Rs 15,501.40 crore, an increase of nearly 53 percent from Rs 10,160.87 crore in August.
Index funds moved in the opposite direction, recording net outflows of Rs 3,614.03 crore after receiving Rs 787.49 crore in August.
Overseas funds also continued to see withdrawals, with net outflows widening to Rs 159.18 crore from Rs 72.19 crore.
Life cycle funds received Rs 143.75 crore, while solution-oriented schemes attracted Rs 373.90 crore during September.
The September data highlights a sharp contrast across mutual fund categories: equity funds attracted significantly more money, ETFs continued to see positive flows, while debt and hybrid schemes recorded withdrawals.
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