In September 2025, India's equity markets experienced a phase of volatility, on the back of domestic policy developments and global economic factors. The BSE Sensex and NSE Nifty 50 indices concluded the month with modest gains, rising by 0.6% and 0.3%, respectively.  During the month, AMFI data shows that equity mutual funds attracted net inflows of Rs 30,422 crore in September 2025, marking a 9% decline from Rs 33,430 crore in August. Despite this moderation, equity assets under management (AUM) rose 1.8% month-on-month to Rs 33.68 lakh crore, while the overall mutual fund industry AUM reached Rs 75.61 lakh crore, up 0.6% from August.

Venkat N Chalasani, Chief Executive, AMFI, noted that the industry “maintained its growth momentum in September" with total assets rising to Rs 75.61 lakh crore despite temporary outflows linked to advance tax payments.  He added that the addition of over 30 lakh new folios, taking the total beyond 25 crore, underscores the widening reach and trust in mutual funds as a key vehicle for wealth creation.

SIP contributions continued their upward trajectory, hitting a record Rs 29,361 crore in September, up from Rs 28,265 crore in August. The number of contributing SIP accounts rose to 9.25 crore, compared with 8.99 crore in August, and SIP AUM climbed to Rs 15.52 lakh crore, representing 20.5% of total mutual fund assets. During the month, 57.73 lakh new SIP accounts were registered, while 44.03 lakh SIPs matured or were discontinued, resulting in a SIP stoppage ratio of 76.3%, up from 74% in August. 

Among equity funds, flexi-cap and mid-cap funds continued to lead inflows, though slightly lower than August. Flexi-cap funds attracted Rs 7,029 crore (down from Rs 7,679 crore), while mid-cap funds added Rs 5,085 crore (vs Rs 5,331 crore). Large & mid-cap funds collected Rs 3,805 crore, up from Rs 3,326 crore, and MultiCap funds saw Rs 3,560 crore, rising from Rs 3,193 crore. Small-cap funds attracted Rs 4,363 crore, down from Rs 4,993 crore.

Sectoral and thematic funds saw a sharp slowdown, with inflows of Rs 1,221 crore, compared with Rs 3,893 crore in August. In contrast, value/contra funds doubled collections to Rs 2,108 crore, and focused funds added Rs 1,407 crore, up from Rs 1,155 crore. Some categories posted outflows: ELSS schemes reversed trends with Rs 308 crore, while dividend yield funds saw minor outflows of Rs 168 crore.

Hybrid funds saw steady flows. Multi-asset allocation funds added Rs 4,982 crore (up from Rs 4,320 crore), balanced hybrid funds collected Rs 2,014 crore (slightly lower than Rs 2,100 crore), and equity savings funds added Rs 1,747 crore. Arbitrage funds saw outflows of Rs 988 crore due to reduced market volatility, compared with an inflow of Rs 1,200 crore in August.

Gold ETFs saw strong inflows of Rs 8,363 crore (up from Rs 6,500 crore), lifting AUM to Rs 90,136 crore, while silver ETFs added Rs 5,342 crore, up from Rs 4,200 crore, taking AUM to Rs 36,461 crore.