The Association of Mutual Funds in India (AMFI) has released the monthly data for January 2026. The data says a shift in investor behaviour at the start of the year. While the overall industry Assets Under Management (AUM) grew, there was a noticeable decline in equity investments, contrasted by a massive surge in Debt and Gold ETF inflows.
Here is a detailed breakdown of the key trends.
1. Equity Mutual Funds: A Continued Decline
For the second consecutive month, net inflows into equity-oriented mutual funds witnessed a drop.
- Equity funds recorded a net inflow of ₹24,028.59 crore in January 2026.
- This represents a 14.34% decline compared to December 2025 (₹28,054.06 crore).
- Flexi-Cap Funds continued to attract the highest inflows among equity schemes, receiving ₹7,672.36 crore. However, even this popular category saw a dip of 23.4% compared to December (₹10,019.27 crore).
- As per the data, the January inflow is significantly lower than the peak seen in July 2025 (₹42,702 crore), indicating a declining trend in retail participation.
2. Debt Mutual Funds: A Significant Turnaround
The debt mutual fund category saw a massive reversal in trends compared to the end of 2025.
- Debt funds recorded a net inflow of ₹74,827.13 crore in January.
- This is a sharp recovery after the industry witnessed heavy outflows of ₹1.32 lakh crore in December 2025 and ₹25,692 crore in November 2025.
- Investors showed a clear preference for short-term liquidity and safety:
- Overnight Funds: Received inflows of ₹46,280.05 crore.
- Liquid Funds: Received inflows of ₹30,681.55 crore.
3. Gold ETFs: Record-Breaking Inflows
Precious metals emerged as a preferred asset class in January, with Gold Exchange Traded Funds (ETFs) seeing a massive spike in investments.
- Net inflows into Gold ETFs stood at ₹24,039.96 crore.
- This is a 106.4% increase from December 2025 (₹11,646.74 crore). This follows a 211.2% jump seen in the previous month.
- The financial year-to-date (FYTD) inflows for Gold ETFs have now reached approximately ₹61,000 crore.
- Other ETFs also saw positive momentum, recording inflows of ₹15,005.87 crore, up 13.6% from December.
4. Overall Industry Health
Despite the slowdown in equity flows, the broader mutual fund industry remains in a growth phase.
- Total Inflows: The industry witnessed a total net inflow of ₹1,56,458.63 crore in January.
- AUM Growth: The total Assets Under Management (AUM) for the industry increased by nearly 1%, rising to ₹81.01 lakh crore from ₹80.23 lakh crore in December.
Conclusion
The January 2026 data highlights a cautious but active investor base. While the pace of equity investments has slowed down from the highs of 2025, capital is moving rapidly into safer avenues like Debt and Gold. The significant inflows into Liquid and Overnight funds suggest that investors are prioritising liquidity and stability in the current market environment.
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